Six reasons to get life insurance through your workplace

According to the 2022 Insurance Barometer study, life insurance is a key element in feeling financially secure.¹ The COVID pandemic has employees looking for more information on how to get life insurance through their employer as part of their benefits package

Whether you don’t yet have life insurance or don’t have enough coverage, employer-offered coverage may be the flexible solution that fits your family’s needs. Here are a few reasons why:

1. In many cases, you won’t need to provide health details for coverage

   Medical exams are often cited as a barrier to purchasing life insurance². Yet many employers offer “guaranteed-issue” coverage, which means employees can enroll in up to a pre-determined level of coverage without medical questions or exams (also known as providing “evidence of insurability”). It’s important to note that when evidence of insurability is required, the insurance company will need to approve it before coverage becomes effective.

2. You can often continue coverage after leaving your employer

   In many cases, employees can take the life insurance coverage they get through their employer with them if they leave that job. The employee will continue to pay the insurer directly for the coverage, but it will still be at a cost-effective group rate.

3. Your spouse or kids may also be eligible

   For employees, life insurance is often thought of as protection for their own income. Yet it’s important to think beyond that: What would be the full impact of the loss of a spouse? For example, if your spouse is your family’s primary source of childcare, would you be able to pay for caregiving from your existing income? If a dependent passed away, could final medical bills and funeral costs be provided from existing savings? Access to spouse and dependent term coverage, typically without answering medical questions, provides an extra layer of life insurance protection for families.

4. Your dependents may be able to keep coverage as they grow

   In most cases, dependents of employees won’t “age out” of their employer-offered life insurance coverage. When they reach their policy age limit, they’ll have the option to convert it to a whole life policy for coverage that can last for their entire lifetime with continued payments.

5. Your coverage may include additional benefits

   The purchase of employer-offered life insurance often gives employees access to other programs designed to make difficult decisions easier, like will preparation, funeral planning and concierge services, travel assistance and an employee assistance program that can provide access to grief counseling and other needs.

6. You’ll be able to take advantage of payroll deduction

   With automatic payroll deduction, you won’t have to worry about remembering to make premium payments. Maintaining this valuable coverage is made simple and convenient.

To learn more about the life insurance options available to you through your workplace, contact your employer.