One popular type of life insurance is group term life insurance. This is insurance typically provided by am employer for employees. There are some key advantages and disadvantages to purchasing this type of life insurance. With all insurance plans, it is important to weigh all options before commiting to the purchase of a policy.

The main advantage is that it is most often the cheapest and affordable life insurance that can be bought. The reason for this is that employers can often offer a discount because of group rates. The fees for this type of insurance are usually deducted straight from an employee’s paycheck. When offered by an employer, it is common to find additional coverage options such as accidental death. With the options and the insurance, an employee can pick and choose the coverage that is right for his/her personal situation. Some plans may even pay benefits in advance due to terminal illness.

This form of insurance is not without it’s cons. The employee doesn’t have the option to shop around. Employees must be satisfied with the insurance offered by the employer or the employee will have to buy elsewhere. This type of insurance may be best used as supplemental to other insurance plans.

Be Sociable, Share!