Part 1 of a 3-part series…
Though life insurance is an important asset for future financial security, many employees don’t realize its importance. Teaching employees about the value of life insurance may increase loyalty to the company as they better appreciate this benefit.
Factors to consider
When deciding to offer life insurance as an employee benefit, there are a number of factors to consider:
- What type of coverage will you offer?
- Will you offer term insurance, permanent or both?
- Who will be covered (employees only, retirees, spouses, dependents)?
Note: Only employees can be covered under a group-term policy.
- When is coverage effective? Will there be a waiting period?
- What amount of insurance will be available? How will that amount be determined (flat fee vs. multiple of salary)?
- Who will pay premiums (you, employees or both)?
- Will there be a minimum amount employees are required to elect? What is the maximum coverage amount allowed?
Murray can help you find a plan that meets your needs. For more information, contact Mary Lyons, GBA, Health Benefits Solutions.
- Part 2 – Offering Life Insurance Benefits: Term and Permanent
- Part 3 – Offering Life Insurance: Benefits to You and Your Employees
This Benefits Insights is not intended to be exhaustive nor should any discussion or opinions be construed as professional advice. © 2016 Zywave, Inc. All rights reserved.
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