Image emphasizing the significance of employee life insurance and disability coverage

Employee Life Insurance & Disability Coverage: Protect What Matters

When you’re considering employee benefits, it’s easy to get lost in the details.

When you’re considering employee benefits, it’s easy to get lost in the details.

Where do you start? How can you find the best value with the right options for your employees?

With BenEx, it doesn’t have to be overwhelming. We simplify employee benefits.

First, we’ll help you select the right employee life insurance and small business disability policies.

And after enrollment, we’re always on standby to provide support.

We’ll help your team get the most out of their benefits; whether they have questions about their coverage or need help navigating claims, we’re here.

Employer-Provided Group Life Insurance Explained

Life is unpredictable.

By providing an employee life insurance benefit, you give the gift of financial security to your employees’ loved ones during life’s unforeseen tragedies.

When you’re considering adding life insurance to your company benefits, there are two main ways to go about it: employer-sponsored coverage or voluntary coverage. Each is structured slightly differently, particularly in terms of who pays for the coverage and how these policies are set up:

Image showcasing the concept of employer-provided group life insurance

Employer-Sponsored Life Insurance

  • Premium Payment: This coverage is usually offered as a benefit at no or minimal cost to the employee, with the employer picking up all or most of the payment.

  • Coverage Amount: For employer-sponsored options, the amount of coverage is often a flat rate for all employees or a multiple of each employee’s annual salary.

  • Enrollment: If you choose to provide this type of life insurance, enrollment is generally automatic, with opt-out options available for those who don’t want it.

  • Underwriting: Another bonus of this benefit is that minimal to no underwriting is involved. Employees typically won’t have to undergo a medical examination or answer health questions for this basic policy

Voluntary (or Supplemental) Life Insurance

  • Premium Payment: For this type of insurance, employees pay the full premium for any voluntary coverage they select, though rates might be more favorable than individual policies due to the group purchasing nature.

  • Coverage Amount: Supplemental policies often have some flexibility in the amount of coverage. This allows individuals to supplement the basic employer-provided amount at a rate that meets their needs.

  • Enrollment: It’s optional. Employees choose whether to enroll in voluntary coverage during benefits enrollment periods.

  • Underwriting: Depending on the amount of coverage chosen, there may be some underwriting involved.

While both types of insurance are facilitated by the employer as part of a company benefits package, the main difference lies in who pays for the coverage and the level of flexibility and choice provided to the employee. The employer-sponsored policy is an automatic benefit, while the voluntary coverage allows employees to tailor their life insurance protection to their needs.

The Financial Protection of Employee Life Insurance

Offering life insurance is a promise of care and future protection. When the unthinkable happens, life insurance steps in, helping to cover medical bills and funeral costs and shielding families from added distress.

We can help you review the marketplace options and find term life insurance for your employees at competitive rates.

Sponsoring an optional group life policy is an easy way to enhance your benefits package. By letting employees pool together for coverage, they access more competitive rates than buying individually. This creates an efficient use of resources that doesn’t skimp on quality.

Offering life insurance shows your dedication to your employees’ families, bolstering trust and loyalty.

Image conveying the concept of the financial protection provided by employee life insurance

Small Business Disability Insurance: Standing By Your Team When Life Takes a Turn

One in four workers can expect to be out of work for at least a year because of a disabling condition before they reach retirement age.

Yet only 23% of Americans have an emergency fund with enough savings to last them 6 months.

Worse still – 22% of households have no emergency savings at all.

What would happen if a member of your team were suddenly unable to work? What would happen to their family?

With employee disability insurance, your employees have income protection.

The right disability policy creates a financial cushion. These policies replace a percentage of your employee’s lost income while they’re out of work, giving them the breathing room they need to weather a crisis.

Image illustrating the importance of disability insurance

By offering this benefit, you’re giving your team more than just financial support; you’re showing them you care.

There are two main types of group disability insurance, each with different uses: Short-Term Disability and Long-Term Disability. When used together, they create a complete layer of protection.

When the unforeseen strikes—a sudden illness, an injury—short-term disability insurance creates an immediate safety net. During the initial weeks or months of recovery, your employee and their family continue to receive a portion of their lost income.

Additionally, some (but not all) short-term disability policies can help with one of life’s more predictable income interruptions: maternity leave.

The most common coverage period for a short-term disability policy is 90 days. But these policies are flexible, and we can work together to select the type and duration of coverage that’s best for you.

A startling 66% of bankrupt individuals cited medical expenses and medically related job loss as the main cause of their bankruptcy.

What happens to your employees when a short-term disability becomes a long-term disability?

In this worst-case scenario, long-term disability coverage begins where short-term policy benefits end.

This benefit generally continues until they recover, or until they reach traditional retirement age and retirement benefits pick up the slack.

Protecting Your Most Valuable Asset

Offering disability and life insurance isn’t just about ticking a box. It’s about elevating employee morale, fostering productivity, and championing long-term retention.

With BenEx, you aren’t just choosing policies. You’re aligning with a partner who simplifies the insurance world.

Looking for stellar disability and small business life insurance in Tulsa?

Our team is ready to guide you through the process. When you choose BenEx, you’ll have peace of mind that your company is providing the best coverage for your employees.

Call us today to get started.