Group benefits are a great way to protect and keep healthy employees. Much like health and dental packages that you can purchase on your own, employers are able to sponsor plans that may include extended health care, dental care as well as disability, life, and accidental death and dismemberment group insurance. Claims will then be paid based on insurance coverage on your employer-sponsored plan.
Group Life Insurance is a life insurance policy that provides for the plan member’s family if he/she dies while a member of the plan. The benefit is based on a multiple of the plan’s member’s earning, however, sometimes it’s a flat amount.
Accidental Death and Dismemberment insurance provides the plan member’s family a benefit if he/she dies accidentally. Should the plan member lose a limb, become paralyzed, or lose their hearing, sight or speech the benefit will be paid out to them and their family.
Extended Health Care Covered reimburses medical expenses otherwise not covered by the provincial plan. This may include options such as prescription drugs, vision care, hospital care, medical services and equipment, paramedical services and assistance with out-of-province emergency travel.
Dental Care Coverage helps cover preventive and diagnostic dental treatments.
Disability Benefits is a type of benefit that is designed to replace a portion of the plan member’s income if they were to become ill or injured where they are unable to work. Employers generally sponsor a combination of short and long-term disability for their members.
When it comes to group benefits the employer is the one that sponsors the plan and the group insurance provider is then hired to insure the plan members and run the various aspects of the program such as paying the claims. Some employers may opt to choose the Administrative Services Only (ASO) Plan where any claims you or your fellow employees submit must be funded by the employer itself.
What’s nice about group benefits is that members of the group usually receive insurance at a reduced cost because the insurer’s risk is spread across a group of policyholders. Also, because its provided on a group basis plan members do not need to go through a medical, unlike individual insurance, to see if they are eligible. Plans usually will cover dependants as well which is a nice added feature.