Page 23 - Life Assurance
P. 23
m ten to millions. Unlike industrial insurance,
group life insurance in the United States and in 1978
amounted to 43% of all life insurance in force.
Group life insurance is almost always
issued on the term plan. The employer receives
master contract coverage, and the employee
receives a certificate that evidence participation
in the plan. The amount of insurance usually
depends on the employee's salary or job
classification.
Employee benefits are employer-sponsored
plans that pay benefits if a worker dies, becomes
sick or disabled, or retires. The various benefits
provide considerable financial security to
employee and their families. They are also
important in calculating total employee
compensation. Although the starting salaries in
many companies may be relatively low, generous
employee benefit can substantially increase
employee’ total compensation packages.
The difference between Group and individual
life insurance:
Group insurance differs from individual
insurance in several respects:
1- A distinctive characteristic is the
coverage of many persons under one contract, A
master contract is formed between the insurer
123 Life51/life/life 08
group life insurance in the United States and in 1978
amounted to 43% of all life insurance in force.
Group life insurance is almost always
issued on the term plan. The employer receives
master contract coverage, and the employee
receives a certificate that evidence participation
in the plan. The amount of insurance usually
depends on the employee's salary or job
classification.
Employee benefits are employer-sponsored
plans that pay benefits if a worker dies, becomes
sick or disabled, or retires. The various benefits
provide considerable financial security to
employee and their families. They are also
important in calculating total employee
compensation. Although the starting salaries in
many companies may be relatively low, generous
employee benefit can substantially increase
employee’ total compensation packages.
The difference between Group and individual
life insurance:
Group insurance differs from individual
insurance in several respects:
1- A distinctive characteristic is the
coverage of many persons under one contract, A
master contract is formed between the insurer
123 Life51/life/life 08
