Employer sponsored life insurance plans add a benefit that helps protect the financial security of employees and their families. Advantages of group employer sponsored life insurance:

  • Less stringent underwriting standards
    People who might have difficulty obtaining coverage at standard rates can be insured through group policies.
  • Lower rates as a group
    Coverage is purchased as a whole entity under a master policy. In turn this results in attractive rates lower than individual policies.
  • Protection against pre-existing conditions
    Coverage cannot be canceled because of deteriorating health conditions. Currently covered individuals cannot be denied coverage with renewal of master policy.
  • Face amount of coverage
    Amount of coverage can be structured in various ways - i.e., flat amount, based upon annual salary, based upon job classification.
  • Can offer additional coverage on a voluntary basis
    Employees can be offered an option to purchase additional coverage, at their expense, at rates lower than standard individual policies. Same protections against pre-existing conditions regarding group apply to voluntary coverage.

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