Group Term Life and AD&D Coverage Options Overview

Group term life insurance provides a lump sum payment to your loved ones in the event of your passing, with coverage amounts ranging from $10,000 to $500,000 or more.

This type of insurance is often offered by employers as a benefit to their employees, and premiums are usually paid through payroll deductions.

Group term life insurance can be converted to individual life insurance policies, allowing you to maintain coverage even if you leave your job.

Typically, coverage is provided for 1-2 times your annual salary, with some employers offering more generous coverage options.

Protecting loved ones is a top priority for many of us. Group Life and Accidental Death and Dismemberment insurance can help protect those you love from financial hardship.

This type of coverage is an essential part of a smart financial plan. Many employers consider group term life insurance an essential part of their benefits package.

Group term life insurance provides employees with a basic level of protection. Adding voluntary term life insurance to your benefits package allows employees to purchase additional coverage for themselves and coverage for their dependents.

This added coverage can be a lifesaver for families who rely on a loved one's income. It's a thoughtful way for employers to show they care about their employees' well-being.

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Group term life insurance is a type of coverage that's usually provided by an employer, and it's often combined with voluntary term life insurance that employees can purchase on their own.

The coverage amount for group term life insurance can go up to $1 million, while voluntary term life insurance has a maximum coverage amount of $500,000.

You can customize your company's life insurance package to fit your needs, with options like flat benefits, percentage of salary, or a combination of both.

Here are the key differences between group term life and voluntary term life insurance:

Group term life insurance is a type of coverage that's often provided by employers. It's usually employer-paid, and can offer a flat benefit, a percentage of salary, or a combination of both.

You can customize the coverage to fit your company's needs. For example, you can offer coverage up to $1 million.

To give you an idea of how this works, here's a breakdown of the different types of coverage:

If you leave your job, you may be able to convert your coverage to an individual life policy. This can give you peace of mind, knowing you'll still have some protection.

AD&D benefits provide an additional layer of coverage to employees.

Accidental Death & Dismemberment (AD&D) coverage is designed to protect employees in the event of a severe accident.

AD&D benefits can be added to group term life or voluntary term life policies.

A core benefit of AD&D coverage is paying for the loss of life, hands, feet, thumb, and index finger, and vision as a result of an accident.

Consider reading: What Does Group Accident Insurance Cover

Accidental Death and Dismemberment (AD&D) coverage is a vital component of group term life insurance. It provides financial protection to employees and their families in the event of a severe accident.

The AD&D benefit is typically paid in addition to the life insurance benefit, providing even greater protection. For example, Javier received $100,000 in AD&D coverage after his wife's death in a covered accident.

AD&D coverage can also include additional benefits, such as the AD&D Seatbelt benefit, which can help cover funeral expenses. Javier received $10,000 from this benefit, which helped him pay for funeral expenses.

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The AD&D policy can also provide a Higher Education benefit, which can reimburse some of the employee's child's college tuition. Khalid received $20,000 from this benefit after his wife's death in a skiing accident.

Here's a breakdown of the AD&D benefits mentioned in the examples:

The Quick Match Program is a great option for businesses with 101-499 eligible employees. It provides streamlined underwriting by matching rates from any other plan.

This program is available for both new and existing groups, making it a convenient choice for businesses looking to switch or start a new life insurance plan. Blue Shield Life will match the current carrier rates in force on amounts up to $500,000.

To learn more about the Quick Match Program, you should contact your Blue Shield sales representative.

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Group term life insurance offers a range of protection for employees, including guaranteed coverage without medical questions, up to $1 million in coverage, and flexible benefits options such as flat benefits, percentage of salary, or combination.

Employees can choose between group term life (employer-paid) and voluntary term life (employee-paid) coverage, with optional dependent coverage available for spouses and children up to age 26.

The voluntary term life option allows employees to customize their coverage with increments or a percentage of their salary, up to $500,000 in coverage.

Here are some key benefits and features of group term life and AD&D insurance:

Accidental Death & Dismemberment (AD&D) coverage provides additional protection for employees in the event of an accident, with benefits paid for the loss of life, hands, feet, thumb, and index finger, and vision.

Life insurance coverage can be a huge help in difficult times, as seen in the example of Karen's husband, who received $200,000 to cover funeral expenses, remaining mortgage, credit card and auto loan debt, transporting remains to the mortuary, and living expenses for six months.

You can check to see if your employer's policy from The Standard includes these benefits. Life insurance coverage can be a lifesaver for families dealing with unexpected expenses.

Javier received a total of $220,000 in benefits after his wife's death, including $100,000 in Life insurance coverage, $100,000 in AD&D coverage, $10,000 AD&D Seatbelt benefit, and $5,000 AD&D Airbag benefit.

AD&D benefits can also provide financial assistance, as seen in the example of Khalid, who received $100,000 AD&D benefit and $20,000 Higher Education benefit after his wife's death in a skiing accident.

Group term life insurance can provide flat benefits, percentage of salary, or a combination, and can offer coverage amounts up to $1 million.

Here are some key features of Principal group life insurance:

Basic Life insurance coverage includes MEDEX Travel Assist and Group Life And AD&D Insurance Coverage.

Our accelerated death benefit is a thoughtful way to support employees who are facing a terminal illness. We offer an accelerated death benefit of up to $250,000 to help them while they are still alive.

This benefit can provide much-needed financial relief during a difficult time, allowing employees to focus on their well-being and the time they have left with loved ones.

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You may qualify for a waiver of premium for a specific time period after a total disability.

This means you won't have to pay premiums for a while, which can be a big relief.

After a total disability, you may qualify for a waiver of premium for a specific time period.

This can help you focus on recovering without the added stress of making premium payments.

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Having a stable life insurance rate can make a big difference in your financial planning. All groups receive a three-year rate guarantee on their life insurance coverage, giving them added financial predictability for budgeting and planning. This means you can count on your premiums staying the same for at least three years, which can help you plan your finances more accurately.

When you're considering a life insurance policy, one of the key factors to think about is the percentage of salary coverage. For example, an employee has a life insurance policy that is twice their salary, meaning a life insurance benefit of $100,000 for someone making $50,000.

The percentage of salary coverage can vary depending on the policy, but it's often used as a simple way to determine the benefit amount.

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Premium and Payment options for group term life and AD&D policies are often tied to the employer's budget and employee demographics.

Group term life insurance premiums are typically paid by the employer, and the cost is usually a percentage of the employee's salary.

The premium for AD&D insurance is typically lower than that of life insurance, often around 25-50% of the life insurance premium.

AD&D insurance policies often have a deductible, which can range from $5,000 to $50,000, depending on the policy.

Most group term life and AD&D policies have a maximum benefit limit, which is usually 2-5 times the employee's annual salary.

The premium for AD&D insurance is usually paid by the employer, just like life insurance.

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Group term life insurance provides a safety net for your employees' loved ones in the event of their passing. The life insurance proceeds would go to the people designated as beneficiaries.

These funds can help loved ones manage financial obligations, such as funeral expenses, mortgage or rent, college funding, daily living expenses, and more.

Our group term life and AD&D insurance program offers a range of features and options to suit most employer groups. You can customize a package that fits your company's needs.

You can offer guaranteed coverage to employees, giving them up to a certain amount of life insurance without medical questions. This is a great perk for employees and can be a major selling point for your company.

Group term life insurance can be offered as a flat benefit, a percentage of salary, or a combination of both. This flexibility allows you to tailor the coverage to your employees' needs.

Here are some key details about our group term life insurance options:

You can also offer AD&D benefits as part of your group term life insurance program. This adds an extra layer of protection for your employees and their families.

You can get up to $1 million in group term life insurance, paid for by your employer.

The coverage amounts for group term life insurance are quite generous, offering up to $1 million in coverage.

You can also choose to pay for voluntary term life insurance, which offers up to $500,000 in coverage.

Voluntary term life insurance allows you to customize your coverage to fit your needs.

You can choose to get coverage based on increments or a percentage of your salary.

If you leave your job, you may be able to convert your group term life insurance to an individual life policy.

You can also port your coverage to another group term life policy if you need to.

Basic life insurance is provided automatically by your employer, at no cost to you.

The coverage amount for basic life insurance is equal to 2 times your annual salary, up to $1 million.

You'll pay taxes on the cost of coverage over $50,000, known as imputed income.

Alternatively, you can elect a flat $50,000 basic life benefit if you don't need the additional coverage.

Our group term life insurance program offers a wide range of choices to meet the needs of most employer groups.

This means you can combine life insurance with AD&D benefits, which is a key feature of our program.

Your group term life insurance coverage includes MEDEX Travel Assist, which can be a lifesaver when you're abroad.

Coverage is automatic and provided at no cost to eligible employees within specified employee categories.

You can choose from a range of coverage options, including AD&D benefits and optional dependent life insurance.

The amount of coverage varies by employee category, as shown in the table below.

You can also opt for a flat $50,000 basic life benefit, which doesn't require you to pay imputed income.