Group Risk Plan: Benefits

An employer may include any of the following benefits in a company plan.

Group Life Plan

Lump sum on death
A cash sum payable to a designated beneficiary on the death of the member. Typically a multiple of salary but could also be a defined amount.

Death in Service pensions
A survivor’s pension – payable to the spouse, or as specified by the member, on the death of a member. The pension is usually paid for life and increases whilst in payment.
A Children’s pension – payable to a child on the death of a member.  The pension is usually paid until the child reaches a specified age, usually 18 or 21 and increases whilst in payment.

Group Disability Pension Plans

Disability pension
A pension is paid to the member after a specified period of absence from work, through disability, has occurred. This period is typically 90 days but other periods are also available.
The pension is usually defined as a percentage of salary and is payable until the member reaches the normal retirement age or returns to work. The pension can either be insured on the basis that it increases whilst in payment or it remains unchanged whilst in payment.

Waiver of Pension Contributions
The member’s pension contributions are paid by the Company whilst he/she is disabled.

Group Total and Permanent Disability Plan

A lump sum payable in the event of the member becoming permanently disabled. Typically a multiple of salary but could also be a defined amount. 

Group Accidental Death Plan

The benefit is payable should the member die as a result of an accident. Typically a multiple of salary but could also be a defined amount.

Group Accidental Permanent Partial Disability Plan

A lump sum payable in the event of the member losing or losing the use of a limb, speech, sight or hearing due to an accident.

Please note that exclusions apply and these are set out in the quotation or Insurance Agreement.