An employee benefits insurance plan is said to be insurance presented by employees in the form of a group insurance program. It can also be a way of attracting and retaining more workers in the company. Some companies may even offer comprehensive packages that Consist of retirement plans, dental and vision plans, and short and long-term disability insurance.
Employee benefits insurance stands as an essential benefit made available to employees. There exists various types of employee benefits insurance, including;
- Group personal accident insurance
- Employee life insurance
- Group health insurance
Let’s look closely at each kind of employee benefits insurance stated above.
WHAT ARE THE TOP 3 TYPES OF EMPLOYEE BENEFITS INSURANCE?
Group Personal Accident Insurance
This type of employee benefits insurance works like individual personal accident insurance. The main aim of the group’s personal accident insurance is to cover all medical expenses for treating accident-related injuries experienced by the employee. It also provides compensation in the event of an accident-related partial/complete/temporary/permanent disability or even death. The major benefits provided to employees through this type of insurance include the following:
- Total coverage of hospital expenses posts an accident.
- Treatment of various injuries caused by accidents, including bone dislocations and burn injuries.
- Total coverage of ambulance charges for transporting the insured accident victim to the hospital.
- Weekly compensation in situations where the insured person is disabled from an accident.
- The total insured sum is paid to the nominees if the insured person is permanently disabled from an accident
- 100% of the insured sum is paid if the insured is permanently disabled from an accident.
- You can also enjoy educational benefits. This ensures that the insurer pays the total educational expenses of the insured employee’s children if they accidentally die or suffer from a permanent disability.
Employee Life Insurance
The employee life insurance plan is a life insurance coverage fully sponsored by the employer. In this insurance, the policyholder is the employer, and the employees stand as the insured individuals. Some of the notable benefits of the employee life insurance plan include the following;
- In a situation where the employee dies, the sum insured is paid directly to the nominee of the said employee.
- All funds gathered through the employee life insurance policy are used to provide retirement benefits to the employees.
- Employees are also provided with gratuity benefits after completing a set number of years in service.
Group Health Insurance
This health insurance scheme provides total coverage for all expenses incurred by the employees on medical treatments. It is the most prominent type of employee benefits insurance with a premium, either borne totally by the employer, or the employee pays a certain percentage of the premium. The notable benefits for employees covered by group health insurance include:
- Cashless treatments at network hospitals.
- Coverage for critical illnesses.
- All ambulance charges are covered.
- Have full maternity coverage with no waiting period of 9 months.
- No need for any medical screening.
- Full coverage of psychiatric treatment.
- Coverage of hospitalization expenses for treating illnesses as long as it’s at least 24 hours.
- Note that any post-hospitalization expenses are all covered.
- Room rent coverage with or without any limit.
