Should you offer group life assurance as an employee benefit?

Group life assurance (GLA), also known as group death in service, has been voted in the top three workplace benefits.

It provides money to families and dependents of an employee who dies, giving them financial support during a difficult time and providing both you and your employees some peace of mind.

Cover is extremely competitive compared with the cost of individual policies; it’s a product of high value to employees at a low cost to you and can be offered as a fixed amount or as a multiple of salary (eg 4 x an employee's annual salary).

Employees won’t have to worry about extensive medical assessments as most are covered automatically, and those that aren’t will usually only have to complete a quick medical questionnaire.

GLA benefit is provided as a lump sum payment and policies can be tailored so that different categories of employees can receive different levels of cover. The lump sum will be tax free, providing it doesn’t exceed the Lifetime Allowance. Your employee’s family can often also receive tailored support from a bereavement service in the event of their death.

GLA could help you recruit, reward and retain your workforce:

  • Makes a difficult situation a little easier when helping a deceased employee's family
  • Provides the employee and their loved ones with financial peace of mind
  • Demonstrates genuine care for your employees
  • Employees that feel appreciated and valued are more likely to stay
  • Remain attractive to new talent, by offering a desirable employee benefit