Customersupport@accurateinsurance.co.in
+91 8484816844.Group Term Life Insurance
What is Group Term Life Insurance?
Group term life insurance is a type of insurance coverage offered to a group offering them life insurance under a single policy. It provides financial security to the beneficiaries in the event something untoward were to happen to the covered individual during the coverage period.
How Does Group Life Insurance Work?
A group insurance is essentially a single master contract which means that it doesn’t really matter how many people are covered, as a single group administrator (master), upholds the contractual relationship between the policyholder (the employer) and the insurance company. He is the one who is responsible for choosing the amount of sum assured and the premium is paid accordingly. This also means that no individual underwriting is required while new members can be added at any point during the course of the year. Most big-sized organizations usually take these policies for their staff.
1. Group term life insurance premiums are generally cheaper as compared to individual policies. Owing to the group nature of its coverage, these plans are inexpensive.
2. A group insurance cover, there is no need for undergoing a medical check-up. Everyone opting for such a policy is automatically covered right from the moment they opt-in.
3. One need not worry about premium payments as the premiums are directly deducted from the employee’s salary thereby negating the chances of missing a premium payment. Further, this also helps minimize any chance of the policy lapsing owing to non-payment of premium.