Group Disability Income Insurance


The employer traditionally provides group coverage or Group Disability Income Insurance to the people working for him. This coverage enables the employees to receive income during their periods of disabilities. In long term disability income insurance, it could cover periods of prolonged total disability. In short term disability income insurance, the employees continue to get benefits generally for a period up to 104 weeks.

Group Voluntary Disability Insurance is deducted at source from the employees' payroll. It offers short term, medium term and long term options of benefit period and accordingly guaranteed issue amounts.

Certain schemes provide cost share approach to Group Disability Income Insurance. Generally, it is available to employers whose employees number 50 or more. It has several options like basic and specific coverage of varied disabilities and accordingly varied premium billing options under which the payments are made by both, the employer and the employees.

Group Disability Income Insurance protects a group of people often working under the same employer and pays benefits when one is not able to work because of a disability. It aims at providing financial support to individuals in the capacity of being a member of a specific group in case one is sick, injured or disabled. The common group that derives such benefits has a common association or interest in the form of a common employer, trade or even a school affiliation.

Often employers provide this type of Insurance as an advantage that comes with the job. It does not exactly or fully replace one's income, but is usually sufficient to sustain the beneficiary or beneficiaries during a period of disablement. In case someone wants some more insurance than what the group insurance provides, then they are free to opt for various individual insurance benefits.