Group Insurance

Group Insurance

Group insurance is a type of insurance which covers a group of people who are related to each other by some defined criteria i.e, members of society or any professional association, Employees of an entity employees working under the same employer etc.

Type of group insurance plans

These are four types of group insurance plans offered by insurance companies in India.

Take a look at the all four types of group insurance :-

1. Group life insurance :- Group life insurance is a type of group insurance policy that provides term life insurance or death benefits to the members of a group for a fixed period of time in case any group member dies in an accident or naturally, then his nominee will be eligible to get compensation to the sum assured or life cover.

2. Group health insurance :- Group health insurance is a type of group insurance policy that provide health coverage to all the members of the group. The group medical cover is to meet the unpredictable medical needs of each group member. This may function in the form of cashless card form or the reimbursement of medical expense up to the limit specified.

3. Group personal accident insurance :- This policy compensates the insured group’s members in case they meet with an accident during their employment. It provides compensation in case the insured group member suffers from permanent total / partial disability as well as in the case of temporary total disability.

4. Group travel insurance :- Group travel insurance is a type of group insurance policy that covers a group of people travelling together against any unforeseen medical or non-medical contingencies. It provides coverage for medical expenses, personal accident, baggage loss, passport loss, personal liability, flight delays, trip delays and cancellation amongst others.

Benefits of group insurance

Group in plans come with their own sets of benefits. They provide benefits to not only the employees covered under the group insurance policy but also to the employers.

Take a look at why buying a group insurance policy is beneficial for organisation and their members.

• Small business health insurance can save money. There are a lot of advantage of group health insurance and one of the biggest ones is the cost savings.
• Tax incentives for offering health insurance to employees.
• Positive work environment and happy employees.
• Lower lost due to a larger risk pool.
• Tax benefits.