Employee Life and Disability Insurance

INTRODUCTION

Employers typically offer some form of basic life and disability insurance to employees as an employee benefit. This coverage may or may not be funded by the employer. In some instances, the employer may pay part of the cost of coverage as long as the employee pays the remaining portion.

For some people, buying sufficient individual life and disability insurance isn't an option – it's just too expensive, and employer-provided plans can provide a cost-effective way to obtain adequate coverage.

Employers commonly provide basic life insurance to employees as part of the benefits package, often with optional insurance available for purchase by the employee. Disability insurance is also a common benefit that employers offer, but it is becoming more common for employers to require greater employee contributions for disability coverage.

Overview

This course will identify what to look for in selecting life or disability insurance coverage. We will discuss:

• Individual versus employer-provided life insurance plans
• Types of individual policies available (whole life, universal life, variable life, and term life)
• The role disability insurance has in protecting you and your family
• How Social Security and Workers' Compensation benefits fit in