Group Life Assurance Scheme
Group Life Assurance Policy or Death-In-Service Benefit Scheme is a contract of insurance designed to provide for the payment of capital sum (sum assured) to the dependents of an employee who dies while in the service of the employer.
- The Employer is the policyholder while the Employees are the insured lives.
- The scheme is arranged to provide benefits in the event of death only.
- Policy grants cover for both accidental and natural death. Premiums are usually paid by the Employer only.
- Policy is renewable annually.
- Coverage is on 24 hours basis.
- Provides Lump Sum cash benefits for the dependents.
- Scheme is essentially non-medical, except for individuals with sum assured in excess of free cover limit.
- All or part of the benefits can be converted to Dependents Annuity until the last dependent attained the age of 21years.
- Benefit under the group policy can be converted to individual policy within 30 days of leaving the scheme free of medical examination.