Group Life Insurance
Definition
- A life insurance policy purchased by an organization, such as an employer or labour union, and offered to its members. Usually offered as a part of a benefit package, group life insurance is cost-effective way for an organization to provide a life insurance policy compared to individual life insurance policies because of their bulk-buying power. Group life insurance policies are generally offered in yearly renewable terms, but permanent life insurance is available in some group plans.
Synonyms
health benefits option, union life insurance, group benefits, employee life insurance
Related Terms and Acronyms
- Beneficiary — Definition,
- An individual or entity chosen to receive benefits from a will, trust, deed or insurance policy.
- Business Life Insurance — Definition,
- Life insurance that provides coverage in the event that a person key to the operation of a business dies.
- Family Income Rider — Definition,
- A recurring or lump sum life insurance benefit that matches the policyholder's income.
- Group Health Insurance Plan — Definition,
- Health insurance that covers a large group of people, often as part as a employee benefit package.
- Life Insurance — Definition, Very Important,
- An arrangement where an insurer agrees to pay a benefit to one or more beneficiaries in the event of the policyholder's death.
➥ CanEquity offers life insurance. - Permanent Life Insurance — Definition,
- A class of life insurance policies, which include both universal and whole life insurance, with guaranteed death benefits at the end of their terms.
- Voluntary Life Insurance — Definition,
- Life insurance offered as part of an employee benefit package where the employee agrees to pay the insurance premiums.
- Yearly Renewable Group Term Insurance — Definition,
- A group insurance policy that is annually reviewed to keep premiums manageable.
