What are they?

Group life insurance is an insurance modality that allows several people to be covered under the same policy.

This type of insurance typically includes people who belong to the same business group, being very advantageous for both the company and the insured employees.

Are your collaborators covered?

Companies are made up of people with growing needs for family welfare and retirement savings.

It is very common for a collective agreement to include contracting the company of life, accident, disability, and even savings insurance for its employees.

Even if it is not contemplated in the collective agreement, many companies decide to contract this benefit, which constitutes an important social benefit for their workers, providing them with financial support in the event of possible events that may negatively affect their personal and family life, as well as important help to guarantee a capital at the time of retirement.

Ensuring the needs of staff in relation to the risk of death and disability (occupational or non-occupational) and the contingency of retirement is a sign of a responsible human resources policy and completes the remuneration package in a very attractive way for employees.

What are the advantages of group insurance?

• High participation in profits over the return on investments (“new money method”).
• It can include coverage for retirement, death and disability, widow’s pensions, and orphan pensions.
• Benefits can be collected in the form of capital and in the form of income.
• Widow’s and orphan’s coverage can be both before and after retirement.
• Possibility for employees to collaborate in contributions to increase their benefits.
• It does not require the establishment of a Control Commission, so it has lower costs, and its implementation is easier and faster than that of an employer pension plan.
• They can be designed to suit each group to obtain maximum profitability and the best tax treatment.
• Normally, no prior medical examination is necessary.
• Premiums are lower than for an individual policy.
• They can offer both the borrowing company and the insured tax benefits.

Business Social Security Plans

They are group insurances that guarantee the constitution of capital at maturity while enjoying unbeatable tax treatment, both for the company and for the insured; you can consult its operation, tax, and accounting treatment here.

Do you know Europe?

Since 1968 we have been founding members and representatives in Spain of Insurope, an association of insurance companies present in more than 80 countries and dedicated to life insurance and pension coverage for employees of multinational companies.

Through Europe, we offer specific products both for Spanish multinationals with branches abroad and for foreign multinationals with a branch in Spain.

A multinational “pool” consists of aggregating the different social security insurance contracts contracted by a multinational in various countries, consolidating them into a single contract for reporting and profit-sharing purposes. With this, the company achieves great cost savings by receiving participation in multinational profits in addition to the participation in local profits that it obtains in each country. In addition, the multinational obtains more information regarding its ownership of life insurance contracts in the world and better-contracting conditions derived from the volume.

You can consult our profile in Europe here.