Differences Between Individual and Group Life Insurance

Unlike an individual life insurance policy, group life insurance coverage is not based on the risk associated with an individual person.  Group life insurance policies are established based on the risk factor of the group as a whole, so higher risk members of the group are protected from being adversly singled out and either excluded or forced to pay more.  A member of a group life insurance policy is typically protected from their employer or organization cancelling their specific insurance as long as the person remains a member of the group.  When an individual buys into a group life insurance policy, they cannot be exempt from the group life insurance coverage as long as they remain in the group, and may have the option to continue to buy into they group plan for a certain period of time after they leave.  For questions about a group life insurance policy, contact an experienced insurance attorney.