Group Life Insurance in Massachusetts | The Feingold Companies

Your Employees Could Benefit from a Group Life Insurance Policy

Life insurance helps people provide for their loved ones if they unexpectedly pass away. For individuals who have jobs and earn an income that their families rely on, this is an especially important type of insurance. Businesses and other organizations can help their employees obtain coverage by offering group life insurance in benefits packages.

What is Group Life Insurance?

Group life insurance provides life insurance coverage for multiple people who are part of a defined group. In most cases, a business, government, membership organization, or similar entity is a policyholder, and its employees or members receive the life insurance coverage. As the policyholder, the business or other entity typically receives the actual policy paperwork, and covered individuals might get a certificate of insurance for their own records.

Who Pays a Group Life Policy’s Premiums?

A group life policy may be set up so that a business or its employees pay the associated premiums. In some cases, businesses provide a basic amount of coverage for employees, and employees who want more protection can choose to pay for additional coverage.

How Much Group Life Coverage Do Businesses Offer?

The amount of coverage that businesses and other entities offer varies greatly. Some only provide a nominal amount of coverage, sometimes just $1,000, while others offer coverage equal to several times an employee’s annual salary.

What Kinds of Group Life Policies Are Available?

While there may be a few group life policies that offer whole life insurance, most provide term life insurance. Coverage typically expires when an employee’s employment ends or when the policy’s term is over.

Do Employees Have to Enroll in a Group Life Policy?

Whether or not employees must enroll in a group life policy depends on how the policy is set up. If the premiums are fully paid by the business or other entity, employees may be automatically enrolled. If employees pay at least a portion of the premiums, they may need to sign up for the policy before they have coverage.

Even when employees are automatically enrolled, they should still be familiar with the policy. It’s often a good idea for employees to choose a beneficiary for their benefits. A beneficiary is someone who will receive the funds if the employee passes away.

How Can Businesses Set Up a Group Life Policy?

Group life insurance is usually included as one component of a group benefits package. Businesses that are interested in learning more about how a group life policy may fit into a benefits package should talk with an advisor who is familiar with all of the products that may be included in a benefits package. They’ll be able to both help set up a group life policy and design a benefits package that is well-suited for a business’ employees.

This material is for informational purposes only. All statements herein are subject to the provision, exclusions and conditions of the applicable policy. For an actual description of all coverages, terms and conditions, refer to the insurance policy. The Feingold Companies is a full-service organization in which offers insurance and employee benefit services through affiliated companies. All individuals listed are affiliated with The Feingold Companies and offer insurance and employee benefit services through Feingold Insurance Agency, Feingold Financial Management and Feingold Employee Benefit Services. Saul Feingold, David Dimenstein, Jed Brandes, Elisa Lindley, Velma Almeida & Carlos Ortiz offer securities through Cambridge Investment Research, Inc., a broker dealer member FINRA/SIPC . Advisory services through Cambridge Investment Research Advisors, Inc. a Registered Investment Adviser. The Feingold Companies are not affiliated with Cambridge Investment Research, Inc. Connor MacNeil is not affiliated with Cambridge Investment Research Advisors, Inc. to offer securities or advisory services. Please be advised that the above referenced New Lakeside and Dudley Insurance Agency only offers insurance related products and services. This office does not contain individuals who are licensed or registered to sale or promote securities related products. If you are interested in receiving securities related products and services please visit or contact our Worcester Office location only. This communication is strictly intended for individuals residing in the states of AZ, CA, CO, CT, DC, FL, GA, IA, IL, MA, ME, MI, MN, NC, NH, NJ, NM, NV, NY, OH, PA, RI, SC, TN, TX, VA. No offers may be made or accepted from any resident outside the specific state(s) referenced. Copyright 2021. All Rights Reserved

GROUP LIFE INSURANCE

Your Employees Could Benefit from a Group Life Insurance Policy

What is Group Life Insurance?

Who Pays a Group Life Policy’s Premiums?

How Much Group Life Coverage Do Businesses Offer?

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What Kinds of Group Life Policies Are Available?

Do Employees Have to Enroll in a Group Life Policy?

How Can Businesses Set Up a Group Life Policy?

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