One of the most common concerns of salaried people around the world is financial security. In India, organizations have begun to recognize this global concern and are now increasingly investing in health and productivity efforts. In fact, Indian employers’ focus on health and productivity was the highest in the Asia Pacific region, according to a 2014 Staying @ Work survey report by Towers Watson, a global professional services firm. In this survey, it was found that 48% of companies operating in India already have a health and wellness strategy, while almost 44% of companies had plans to formulate such a strategy.
Group life insurance is becoming that powerful strategic tool in the hands of Indian employers through which they can have a significant impact on the emotional well-being of their employees and thus have a direct and positive impact on the health of your business. .
What is group life insurance?
Group life insurance is a product offered to large entities by public and private insurers. Under such policy coverage, an organization retains the master insurance policy and extends the benefits of the policy to all of its employees. This is an inexpensive insurance option that employees can take advantage of compared to relatively expensive individual life insurance policy coverages that come with a higher premium.
How do employees benefit from group life insurance?
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The cost of the premium is not based on individual risk, that is, the premium would be uniform for all employees.
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The fact that administrative costs are borne only once by the primary policyholder (employer) results in a lower premium amount per employee compared to individual life insurance policies.
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There are no barriers to entry for employees, for example, employees do not need to submit medical certificates to take advantage of a group insurance policy.
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Most group insurance policies will provide the option to extend the benefits of insuring to the employee’s family as well, thus providing an added sense of relief to employees when it comes to concerns about possible future financial instabilities that may affect the lives of your family members.
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Some of these policy coverages also provide tip benefits along with life insurance coverage which is a great savings option for the future.
Such a group life insurance policy is proving beneficial for both the employer and the employees. With their financial insecurities resolved, employers are bound to see happier and more engaged employees.