New Group Term Life Product from Colonial Life
Sales of life insurance policies are at an all time low, and recent research indicates that cost is a major factor keeping consumers away. Many insurers are attempting to reverse this trend by developing affordable yet effective products so that more Americans have access to this crucial coverage. Colonial Life and Accident Insurance Company is doing their part as they recently launched their new group term life policy, available to many individuals via their workplace. A recent Market Watch press release, “Colonial Life Launches New Group Term Life Product,” detailed the new product.
The company is excited about the various benefits for workers included in their recently released term life policy. Employees, along with their spouses and dependents, can obtain coverage without answering any health questions. Participants who are terminally ill will also have access to accelerated death benefits to help offset the expenses of health care. Employees will have around the clock access to confidential services for any personal or work-related issues, including mental health professionals as well as legal assistance. Additionally, optional coverage for accidental death or dismemberment can be added on to the original policy, as well as the option to convert the term policy to whole life coverage if the employee should ever leave their job. According to Jeffrey Koll, assistant vice president for life and disability product development at Colonial Life, 41% of all American adults do not have any life insurance, and this new group term life product can give employees a lower-cost option that offers ample protection for their families.
In addition to being very beneficial for workers, the new product boasts several advantages for employers as well. The benefits program will not affect a company’s bottom line, as employees pay 100% of the premium. Because there is a guaranteed issue coverage benefit, all employees will be eligible, despite any health concerns. The product was designed to suit the needs of both small and large businesses, so any employer can administer the product and customize options to suit the needs of their employees. Additionally, the product is available across state borders, allowing employers with multi-state workers to offer the same benefits to their entire staff. Finally, the above mentioned employee assistance program can help keep productivity levels up, as workers will have access to support for personal or professional problems. Life insurance coverage is often overlooked, especially in difficult economic times such as this. Many go without simply because they can’t afford it, but with new, more affordable products being developed consistently, the industry hopes to reverse this trend.