Group Insurance

Group insurance is a type of insurance that covers a group of people who are linked by a common affiliation, such as an employer, a union, an association, or an alumni group. Group insurance provides benefits to the members of the group and their dependents, such as health, dental, life, disability, and accident insurance.

Services available through group insurance

Some of the various services available through group insurance are:

Health insurance: This covers medical expenses such as prescription drugs, hospital stays, vision care, paramedical and ambulance services.
Dental insurance: This covers dental expenses such as exams, cleanings, fillings, crowns, bridges, implants, and orthodontics.
Life insurance: This provides a lump sum payment to a beneficiary in the event of the insured’s death or terminal illness.
Disability insurance: This provides income replacement to the insured in case of illness or injury that prevents them from working.
Accident insurance: This provides a lump sum payment to the insured or a beneficiary in case of an accident that results in death, dismemberment, or disability.
Employee assistance programs (EAPs): These provide confidential counseling and referral services to employees and their families for personal or work-related issues.
Wellness programs: These provide resources and incentives to employees to improve their health and well-being, such as fitness classes, health screenings, smoking cessation programs, and nutrition counselling.
Travel insurance: This covers medical expenses and other losses incurred while traveling outside the country or province of residence.
Critical illness insurance: This provides a lump sum payment to the insured if they are diagnosed with a covered critical illness, such as cancer, heart attack, or stroke.
Retirement savings plans: These provide employees with options to save and invest for their retirement goals, such as registered pension plans (RPPs), registered retirement savings plans (RRSPs), or tax-free savings accounts (TFSAs).

It is important to note that not all group insurance plans will include all of these types of coverage. The specific benefits that are included in a group insurance plan will depend on the needs of the group and the type of plan that is chosen.

Benefits of Group Insurance

Group insurance offers many benefits to both employers and employees.

Benefits for Employers

Group insurance can help attract and retain qualified and loyal employees in a competitive job market.
Group insurance can improve employee morale, productivity, and engagement by providing financial security and support for their health and well-being.
Group insurance can reduce absenteeism, turnover, and disability costs by promoting preventive care and early intervention.
Group insurance premiums are tax-deductible as a business expense.

Benefits for Employees

Group insurance can provide affordable and accessible coverage for employees and their dependents that may not be available or sufficient through provincial health care plans or individual plans.
Group insurance can help cover the cost of medical expenses that may otherwise cause financial hardship or stress for employees and their families.
Group insurance can help protect employees’ income and assets in case of illness, injury, or death.
Group insurance can help employees plan for their future and retirement goals by offering savings and investment options.

Types of Group Insurance

There are two types of group insurance in Canada: small group insurance and large group insurance.

Small Group Insurance

Small group insurance is designed for companies with one to 50 employees. Small group insurance plans are usually standardized and pre-packaged by the insurance provider, and the premiums are based on the size, age, and industry of the group. Small group insurance plans typically offer basic coverage for health and dental care, life and accidental death and dismemberment (AD&D) insurance, short-term and long-term disability insurance, and employee assistance programs (EAPs).

Large Group Insurance

Large group insurance is designed for companies with 51 or more employees. Large group insurance plans are more flexible and customizable than small group insurance plans, and the premiums are based on the claims experience and risk profile of the group. Large group insurance plans typically offer more comprehensive coverage for health and dental care, life and AD&D insurance, disability insurance, EAPs, wellness programs, travel insurance, critical illness insurance, and retirement savings plans.

How to Get Group Insurance

If you are an employer looking for a group insurance plan for your company, you will need to work with an insurance broker or agent who can help you find the best plan for your needs and budget. You will need to provide some information about your company and your employees, such as:

The number of employees
The average age of employees
The gender distribution of employees
The industry and occupation of employees
The salary range of employees
The benefits you want to offer
The budget you have for premiums

Wealth Insured will then shop around different insurance providers and present you with some options to choose from. You will need to compare the features, benefits, exclusions, limitations, costs, and service levels of each option before making a decision. Once you select a plan, you will need to sign a contract with the insurance provider and enroll your employees in the plan.

If you are an employee looking for group insurance coverage through your employer, you will need to check if your employer offers a group insurance plan and if you are eligible to join it. You will also need to review the details of the plan, such as:

The types of benefits included
The amount of coverage provided
The co-payments or deductibles required
The waiting periods or pre-existing condition clauses applied
The claim procedures and forms required
The online tools or resources available

You will then need to fill out an enrollment form with your personal information and select the benefits you want to enroll in. You may also need to provide some evidence of insurability or medical information if required by the plan. Once you enroll in the plan, you will receive an identification card or certificate that confirms your coverage.