Individual
Benefits of Group Term Life Insurance Plans
Group Term Life Insurance Plans, as the name suggests, are designed to offer life insurance to a group of people under a single policy. A group insurance policy is not restricted to merely employer-employee groups but is also extended to other groups such as customers of banks, NGOs, professional groups, non-banking financial institutions, and microfinance institutions.
A group insurance
A group insurance
policy for employees assures financial assistance and independence to the beneficiaries of the concerned employee, in the event of their death. It offers diverse benefits, from uniform cover for all to ranked covers to various grades of members. Some group insurance schemes also provide covers for outstanding loans to a group of borrowers, while some come with critical illness and disability benefits.
...Read More Disclaimer: In Unit Linked Policies, the investment Risk in the investment portfolio is borne by the policyholder.
1 Cr. Life Cover starting @ ₹775^1/month
Rs.3L* Premium Back
Terminal Illness Coverage
Written by
Alok Mishra
: Alok Mishra
Insurance Writer
Alok Mishra is a Digital and Content Marketing specialist with 10 years of experience. He has spearheaded Web Content, Social Media & Branding, and Community Building initiatives to drive growth for prominent brands.
Reviewed by
Bhaskar Sinha
Bhaskar Sinha
Insurance Expert
8+ years of experience in Life Insurance with expertise in Developing Life and Health Products, Digital Sales, Conducting effective trainings and Key Account Management.
Here are the benefits of Group Term Life Insurance plans to employers as well as employees:
1. Default Insurance Cover
A group insurance policy provides insurance cover to members by simply being part of the group. It ensures basic insurance to cover those who do not have a personal life insurance policy.
2. Gratuity Funding
Employers are aided with a systematic method of building up funds for their future gratuity liability towards the employees. A group insurance policy assists the employers with the same, along with providing life insurance cover to employees, with greater ease.
3. Tax Benefits
Group Term Life Insurance plans offer tax benefits to both employers and employees. As per prevailing Tax Laws, Death benefits are exempt from tax underSection 10(10D) of the Income Tax Act, 1961. Moreover, group insurance plans are doubly effective - in employee welfare as well as retention.
4. Customizable to suit employee needs
Group insurance policy coverage can be extended with add-ons like education allowance, repatriation allowance, accidental death and more, thus covering a multitude of benefits along with the base cover.
5. No medical check-ups
Employees are relieved from the hassle of going through medical check-ups under Group Term Insurance Plans.
6. Cost-Effective
Since a group plan entails insurance cover for many people, its premium is much lower as compared to individual policies.
Undoubtedly, a group insurance policy is a smarter way to avail insurance protection against multiple risk factors, let alone life. Start by assessing the right group plan.
Disclaimer: Life Insurance coverage is available in this product. It is a group insurance plan which provides only death benefit and no maturity or surrender benefit. For more details on the risk factors, terms and conditions, please read the product sales brochure carefully before concluding a sale.
FAQs
I already have an existing term insurance plan. An I eligible for a group term insurance plan?
What is the tenure of a group life insurance plan?
Are there any tax benefits of a group term insurance plan?
I already have a group term plan provided by my employer. Do I need to get a separate term plan too?
What is the maximum age of entry for a group term insurance plan?
ARN NO: Oct22/Bg/12B
Sources:
https://www.exidelife.in/funds/knowledge-centre/blogs-and-articles/is-term-life-insurance-cover-from-your-company-enough
https://www.policybazaar.com/commercial-insurance/group-life-term-insurance/
https://www.exidelife.in/funds/knowledge-centre/blogs-and-articles/is-term-life-insurance-cover-from-your-company-enough
https://www.policybazaar.com/commercial-insurance/group-life-term-insurance/
https://www.bankbazaar.com/insurance/group-term-life-insurance.html
Disclaimer:
Savings mentioned are indicative of the maximum premium difference when the same plan/variant is bought offline
https://www.exidelife.in/funds/knowledge-centre/blogs-and-articles/is-term-life-insurance-cover-from-your-company-enough
https://www.policybazaar.com/commercial-insurance/group-life-term-insurance/
https://www.exidelife.in/funds/knowledge-centre/blogs-and-articles/is-term-life-insurance-cover-from-your-company-enough
https://www.policybazaar.com/commercial-insurance/group-life-term-insurance/
https://www.bankbazaar.com/insurance/group-term-life-insurance.html
Disclaimer:
Savings mentioned are indicative of the maximum premium difference when the same plan/variant is bought offline
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