___ are employer-sponsored benefits, other than wages, that enhance the economic security of individuals and families and are partly or fully paid for by employers.
Employee Benefits
In what four ways does group insurance tend to differ from individual insurance?
- Many people are covered under one contract; a Master Contract is formed between the group and the insurer.
- Coverage usually costs less than comparable individual insurance
- Individual evidence of insurability is not usually required
- Experience rating is used
To be included in group insurance, employees must work full time, satisfy a probationary period, be actively at work when coverage begins, and apply during the ___.
Eligibility Period
Group plans also make available ___, whereby employees can purchase additional amounts of insurance without evidence of insurability.
Supplemental Term Insurance
Group life insurance plans typically provide ___:
- Provides low-cost protection to employees
- The basic amount of coverage can be based on the workers’ earnings, position, or it can be a flat amount for all
- Coverage usually ends when the employee leaves the company
Yearly Term Insurance Coverage
Most group life insurance plans also provide ___ insurance:
- Pays additional benefits if the employee dies in an accident or incurs certain types of bodily injuries
- The benefit is some multiple of the group life insurance benefit
- The full benefit, called the Principal Sum, is paid if the employee dies in an accident
Group Accidental Death and Dismemberment
In a(n) ___ group life insurance plan, the employer pays the entire cost.
Noncontributory
In a(n) ___ group life insurance plan, the employer and the employee share the cost.
Contributory
Some group life insurance plans require employees to satisfy a(n) ___ of 1-3 months before they can participate in the plan.
Probationary period
Some group life insurance plans have a(n) ___ option that allows the coverage to continue if the employee leaves.
Portable Term Insurance
