Group Life Assurance Scheme
This cover is mainly offered by an employer as part of a benefit package. It covers the employee in the event of death and the benefit payable is often determined as a multiple of the employee’s salary package.
Granting of full cover is not automatic and may be subjected to additional medical testing if the benefit level exceeds the “Free Cover Limit” (non-testing limit ) of the scheme.
Perhaps the most attractive aspect of this class of business is that the proceeds of cover do not attract further taxation by the Revenue Authority.
Cover may be extended to include;
Last Expense (Funeral Cover) Benefit
This ideally makes an immediate payment of a predetermined amount (ideally within 48 hours) of death to a members dependants for the purpose of covering funeral expenses. Documentation in the form of a burial permit and other variable (depending on the underwriter) information would be required to process a claim.
Critical illness insurance or critical illness cover
Critical illness insurance or critical illness cover is an insurance product, where the insurer is contracted to typically make a lump sum cash payment if the policyholder is diagnosed with one of the critical illnesses listed in the insurance policy.
The policy may also be structured to pay out regular income and the payout may also be on the policyholder undergoing a surgical procedure, for example, having a heart bypass operation.
The policy may require the policyholder to survive a minimum number of days (the survival period) from when the illness was first diagnosed. The survival period used varies from company to company, however, 28 days and 30 days are the most common survival periods used.