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What is the definition of Group Insurance?

WE ANSWER:

Group Insurance refers to one policy that covers a group of individuals that are grouped together because they have something in common.

Group Insurance is commonly provided to employees of a company, or for the members of an association. There are also some policies that provide coverage for the insured persons' dependents.

A master policy is issued to the company (the employer) or the association. Group insurance is characterized by cover that is applied to each member under the policy in exactly the same manner, with no exceptions - regardless of prior conditions.

Group insurance may provide life or health coverage or both. This may be handled either by a department in the company or association, or can be outsourced to another company.

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