Group Life Assurance
This policy is a benefit offered by an employer to its employees. The sponsor of the group life scheme is the organization. Group Life Assurance is typically offered as part of employee / membership benefit package.
It is aimed at employee groups, and provides benefits on death of the members during employment tenure. The product can be taken together with various riders and accelerator benefits, e.g. disability rider, critical illness, mortgage protection, medical reimbursement and last expense.
Individual Life Assurance
Individual Life insurance is a contract between a life insurance policy holder and an insurer(company) where the policy holder makes payments(premiums) to the insurer for a certain period, and the insurer promises to pay a certain agreed sum of money to a designated beneficiary e.g. a child, a spouse, a relative etc. when the event insured against occurs. The core purpose of life insurance is to protect the insured’s family from financial strain if and when an unfortunate event occurs e.g. death, disability..