Employer Payroll Deduction Life Insurance


Why should an employer set up an employee payroll deduction life insurance plan? For the following reasons:

w Because 60% of all employees have no other life insurance other than the group term life insurance provided by their employer.

w 90% of all group term life insurance vanishes or is reduced drastically at the employee's retirement or at their age 70.

w Approximately 90% of a company's work force will outlive their group term life insurance that their employer provides.

w Employees with health-related problems will not be insured by most carriers. If offered coverage, it is often cost prohibitive.

w 70% of employees have less than $2,000 of life insurance on their dependents.

w 80% of Americans have not talked to a qualified life insurance agent in the past 5 to 7 years.

What is the best solution

A payroll deduction Universal Life insurance plan that offers the following benefits to your employees:

Automatic issue - no physicals or exams required.

Post-Retirement coverage that cannot be reduced or cancelled by the insurance company.

Portable coverage - the same low premiums continue to apply even after the employee leaves the company.

Convenient payroll deductions make it easy for employees to pay premiums.

Flexible - coverages can be updated annually.

Spouse and children's coverage available at same economical rates without employee participation.

Professional enrollers offering qualified advice with employee and family in mind.

What are the advantages to your company?

No direct cost to your company since 100% of the direct cost for this benefit is paid by the employee. Also, the enrollment process will not disrupt employee productivity.

Fills gaps that have been created in your existing coverage. It permits your employees to have permanent, portable and paid-up policies.

Expands benefits so that employees have permanent life insurance protection versus temporary coverage.

Takes employer off the hook by giving employees opportunity to provide needed financial security to their families.

No government regulation since this benefit does not fall under ERISA guidelines.

Employer administration of this benefit is minimal since the administration is handled by the insurance/administration company. Everything from underwriting to policy issue to billings to policy holder service to claims is handled by them.