Life insurance is an optional benefit that many businesses now offer to employees, and while it may seem like an unnecessary expense, it can be life-changing for one’s beneficiaries. The death of a loved one — even an expected one — can lead to an enormous debt for one’s families, forcing them to final expenses or pay off one’s debts. For this reason, BenefitCorp is committed to providing organizations with the best possible life insurance consulting so that they can enhance the quality of life of their employees.
Comprehensive Life Insurance Benefits
For many people, ensuring that their loved ones will be financially secure in the future (after they pass away) is of huge importance. This is where life insurance comes into effect, and the primary reason why businesses should consider offering coverage. For employees who are married, have a family, or plan on having one in the future, life coverage can prove to be a significant benefit, and can often be a contributing factor in facilitating employee retention and satisfaction.
In addition to paying for ‘final expenses’ such as funeral and burial expenses, life insurance can provide spouses and families with an indispensable surplus of capital to pay for other necessities such as:
- Child Expenses: Life insurance can provide coverage to ensure that children are taken care of, that their needs are met, or (even) that they can one day afford a quality education.
- Spousal Income: If a spouse passes away, that means there is one less person making ends meet. Sad, but true. Additional coverage through life insurance can allow widows to maintain their current lifestyle or give them the money they may need to hire additional help.
- Personal Debt: Life coverage is often used to help families pay off the policy holder’s debt following their death. This can help ensure, for example, that one’s mortgage is paid for so that they do not have to sell the house.
- Estate Taxes: Along with debt comes taxes, and with estate taxes being so high, having insurance in place to pay them off can be essential.
Whole Life or Term Life?
Whole life is just what it sounds like: life insurance intended for one’s whole life. This means that it is more comprehensive, but often at the cost of higher premiums. Term life, in contrast, is more stripped-down, offering no excess premium and no guarantees beyond the end of the term.
Many businesses get hung up on whether to offer whole life or term insurance (or life insurance at all). While most insurance providers (and consultants) will tell you they are both good options, with the latter simply being a ’better’ value, the honest answer is that both types of policies (or one of their derivatives) have benefits and drawbacks. Whether you choose to offer one over the other should be entirely dependent on your needs and your employee’s financial means and desires. One of our knowledgeable professional insurance consultants can help you determine what type of policy is best for your employees and for your unique circumstances.
Learn More About Life Insurance
Is your organization stuck on whether you should offer life insurance, or what type of policy you should go with? BenefitCorp can help your organization determine if it is a good fit for your benefits package and, if so, help you establish a policy that aligns with your needs, goals and budget. We can also provide support to answer any questions you have, and work with you to ensure that your employees are completely satisfied with their coverage. For more information about group life insurance, or to request a consultation, call BenefitCorp at 972.737.7875 or contact us online today.