Group insurance is coverage provided to a defined group, such as employees or members of an organization. It benefits organizations of all sizes, from small businesses to large corporations, offering health coverage for individuals and their dependents.
Typically, the cost of group insurance is shared between the employer and employees. Employers often contribute a significant portion of the premium, while employees may make smaller contributions through payroll deductions.
Comprehensive coverage in group insurance spans a range of health services, including medical, hospitalization, prescription drugs, and other health-related benefits. It aims to provide a well-rounded approach to healthcare for the covered individuals.
Group insurance plans often have simplified underwriting processes, and coverage is generally available to all members of the group, regardless of their individual health conditions. This can be advantageous for individuals with pre-existing conditions.
In some cases, group insurance plans offer portability options, allowing individuals to retain their coverage even if they leave the group. This feature provides continuity in health coverage during transitions, like changing employers.