Group Life and Health Insurance

Five Tips to protect yourself and your family

When you join a new company part of your compensation package will often include group life and health insurance protection, also called an employee group benefit plans. Not all employee benefit plans are the same; each has its own strengths and weaknesses. Ask your professional insurance broker to review your existing insurance protection and advise you on any gaps or duplications of coverage that your new plan offers. This will make sure that you have the correct amount of insurance protection for you and your family and that you are not paying more than you need.

The following five tips will help you to maximize your employee benefit dollars:

• Life insurance coverage. How is the life insurance benefit calculated?  Many plans offer a flat amount of life insurance while others provide a benefit that is a multiple of annual basic earnings. Most plans plan will usually have a maximum amount of coverage. Does the plan require evidence of good health? Many plans require proof of good health for protection in excess of their non-evidence maximum limits.  At what age are benefits reduces and by how much? Are dependents covered?
• Disability Insurance (Income Protection). Long term disability insurance provides a benefit if you become sick or injured and are unable to work at your regular occupation. Group insurance plans vary in the amount of coverage they will provide, the waiting period and the definition of disability. It is important to review what the plan will provide regarding short and long term disabilities.
• Critical Illness Insurance Protection. Not all companies are providing Group Critical Illness insurance coverage to their employees. Critical illness coverage provides a lump sum benefit when the employee suffers from one of the insured illnesses. The three main illnesses covered are heart attack, stroke and cancer.
• Health and Dental Insurance.  An independent employee benefits specialist who is able to shop the market offers you the advantage of comparing the costs and benefits of many group insurance carriers, as opposed to a (captive) sales agent who is generally limited to promoting a single insurance carrier's products. Furthermore, look for an experienced group specialist with proper credentials who comes recommended and is trusted within the business community. Ask for references or testimonials from existing clients.
• Travel Insurance. Your employee benefit needs can change with plan usage and with your company's business cycle; your broker can offer recommendations to address these issues. There are many steps you can take to contain your costs, including increasing your deductible to keep in line with inflation, implementing annual maximums on certain components of the plan, and setting a cap on plan dispensing fees.

Group life and health insurance plans help businesses grow by attracting and retaining top talent.

Are you happy with your plan? Are you happy with your broker? If not, please give me a call and we will work together to make it right.

Call today - Nick Godfrey 905-815-7186