Group Life Insurance Vs. Private Life Insurance

Written by Growth 360, LLC

When you’re shopping for life insurance, there are several different important decisions that you’ll need to make to ensure that you’re getting the best protection for you and your family. Life insurance is one of the only ways that you can ensure that your family is taken care of, regardless of what happens to you.

Companies are always looking for incentives that they can offer to their employees to guarantee their happiness. Companies offer everything from gym memberships to laundry services. One of the common perks that employees will get is a life insurance policy. Because life insurance is such an important purchase, it’s vital that you make the best coverage choices for you and your loved ones.

We get a lot of questions every year about deciding if a client should take their group life insurance policy that their employer is offering, or go with a private plan that they purchase on their own. It can be a difficult decision, but that’s why we are here to help.

Group Life Insurance

If you’re starting a new job, or your organization has begun offering a group life insurance plan, you might be wondering if you should take this group coverage and drop your private life insurance policy. Group life insurance policies are an excellent way to get life insurance coverage, but it’s important to ensure that you’ve got the protection that you need. Group life insurance plans

Every business is different, which means that every group life insurance policy is going to be different. Each of them is going to have different coverage amounts and benefits. In most cases, your organization will offer you a life insurance plan that matches the amount of your salary. Depending on the plan, you won’t have to take a medical exam, but you will have to answer a few health questions. That makes these group life insurance plans a very good idea for anyone that has severe health problems and wouldn’t be able to get insurance coverage through a private insurance policy.

Some companies are going to pay the whole price of your monthly premiums for the life insurance policy, while other companies will pay half or a certain amount. Every company has different ways of managing their life insurance policies, but most companies will purchase five year term plans for their employees, and they will continue to renew them each time they expire.

Should I Drop My Private Insurance?

As more and more companies are starting to offer life insurance benefits, more clients are facing the problem of not knowing what decision is going to be best for you. If you’re in this situation, it’s important that you have the life insurance protection that your family needs.

Group life insurance plans are perfect for getting additional insurance protection for your family. If you’re considering joining a group life and dropping your private insurance policy, that could be one of the worst mistakes that you ever make for your family.

As we mentioned, in most cases, you can get life insurance that equals the amount of your annual salary, but that’s it. These group plans are not going to offer your family the life insurance coverage that they need if something tragic were to happen to you. Just because these policies don’t offer enough coverage doesn’t mean that you should decline to join the plans, especially if your employer is going to pay the full price of the premiums.

Getting Affordable Private Life Insurance Coverage

One of the reasons that a lot of clients decide to drop their private plan in favor of the group policy is because of the price. Getting group life insurance is going to be much cheaper than a private plan, but that doesn’t make it a better choice. Luckily, there are several ways that you can get affordable private insurance to protect your family, regardless of what happens to you. Making a few simple changes can save you thousands of dollars on an individual plan.

The first thing that you should do is cut out any tobacco that you’re currently using. If you’re a smoker, then you’re going to get much higher rates for a plan. One of the biggest factors that the insurance company is going to look at is your smoking habits. Anyone that uses tobacco is going to pay at least twice as much for their private insurance versus a person that doesn’t smoke.

The best way to ensure that you’re getting the best life insurance coverage is to compare dozens of insurance policies before you decide which one works best for you. There are dozens and dozens of private insurance plans that you can comb through to find the lowest premiums and best coverage.

Instead of wasting hours and hours to find the best policy, let one of our independent insurance brokers do all of the hard work for you. Unlike a traditional insurance agent, our independent agents work with dozens of highly rated insurance companies across the nation. Regardless of which state that you live in, we can help you find a quality and affordable insurance policy to meet your needs.

Group Life Insurance and Private Life Insurance

Group life insurance plans can give you additional coverage on top of your private life insurance plan, but you should never use these plans as your primary source of insurance protection. If you have any questions about either group or private life insurance, please contact one of our agents today. We would be happy to answer those questions and connect you with the best possible plan to meet your needs. It’s our mission to ensure that you’re getting the best plan for you and your family.

At, we are dedicated to helping to get affordable life insurance without the stress and confusion of trying the search alone. Don’t wait another day, contact one of our agents and we can get the process started.

About Growth 360, LLC
About Growth 360, LLC

We work with individuals across the nation to secure the best life insurance rates.

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