Ohio OH Life Insurance
Reader’s Question:
I have a small home-office in Ohio with 10 employees. A life insurance agent is offering a group life insurance. Does the size of my group affect my rate?
David
Columbus, OH
Yes. Most Ohio insurance companies base rates for group life insurance on factors like size of the group, company claims history, gender and average age of employees, employee salaries (for salary-based plan), and type of occupations associated with the group.
Employer-sponsored life insurance can be very attractive benefit for your employees since they will not undergo the normal stringent application process when they apply for individual insurance. Under an employer-sponsored life insurance, employees often are not required to undergo a physical exam. When an employee decides to leave your company, group life insurance is also relatively easy to convert to individual policy.
You can start by providing your employees with an insurance equivalent to one year of their salary. Some employers offer up to 2 years or more of their equivalent salary. Some businesses require employees to pay a portion of the insurance premium or offer additional coverage – accidental death and dismemberment insurance, coverage for dependents and family, travel protection – at a minimal participative cost deducted from their salaries. Remember though that most insurance companies do not offer group life insurance for groups fewer than 10 people.
Contact your local insurance agent for more options of group life insurance.
Loading ...