A Group Life Insurance contract covers the members of a particular group. The group could be employees, members of a club, society, association etc. It provides financial compensation in the event of death of a member of the group.

In the case of employers, Group Life Assurance Policy or Death-in-Service Benefit Scheme is a contract of insurance designed to provide for the payment of capital sum (sum assured) to the dependents of an employee who dies while in service of the employer.

Group Life Assurance policy is compulsory by virtue of the Pension Reform Act 2004. Section 9 subsection 3 of the act requires employers to maintain life insurance policy or death-inservice benefit scheme in favour of their employees for a minimum of (3) three times the annual total emolument of the employees. This is the cheapest form of assurance cover and the cost is borne by the employer. The underwriting requirements are very favourable and not as stringent as in individual life cases.

Features/Benefits
• Basically a death cover designed to provide the agreed level of benefit

• Provide financial succour to the family of the deceased

• It is provided solely by the employer for the employees benefit

• It is renewable annually

• It works in-line with the provisions of the law

• It could be arranged to provide for additional benefits such as: disability insurance, burial expenses, accidental medical expenses etc.

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Group personal accident assurance provides benefits for bodily injuries sustained during the period of insurance by an employee caused solely and independently of any other cause by accident, violent, external, visible means resulting in disablement or death.

Disability Benefit: this cover is designed to provide benefit to employees who may suffer one form of accidental disability or the other in the course of their employment without necessarily resulting to death. It is arranged to cover total permanent disability and total temporary disability.

Accidental Medical Expenses Benefit: this cover is designed to cover medical, surgical, and hospital expenses necessarily incurred and expended in connection with any injury by accident suffered in course of duty.

Burial Expenses: for organisation or association concerned with ensuring that employees/members get a befitting burial at death, this benefit makes provision for additional cover to cater for the financial burden of the funeral arrangement as an additional benefit.

Added Benefits

• All or part of the death benefit can be converted to dependants' annuity until the last dependant attained the age of 21 years.
• Benefits under the group policy can be converted to individual policy after separation.
• Provision for use of utilized premium as credit balance for reduction of subsequent renewal premium.
• Provision for use of unutilized premium as credit balance for reduction of subsequent renewal premium.
• Premium charged to be noted as expense for tax purpose
• There is a profit sharing arrangement on the scheme