Group term life insurance is a type of term insurance in which one contract is issued to cover multiple people. The most common group is a company, where the contract is issued to the employer who then offers coverage as a benefit to employees. Many employers provide, at no cost, a base amount of group coverage as well as the ability to purchase supplemental coverage and coverage for employees' spouses and children. Group term life insurance is relatively inexpensive compared to individual life insurance.

1. Default Insurance Cover: It covers all the employees under a single plan.
2. Tax Benefit: Employers get extra benefits on the group insurance plans.
3. Easy Premium payment options for employers: Depending on the organization’s needs the employer can choose monthly, quarterly, half-yearly and annual premium payment modes.
4. Useful for employee’s wellbeing: Group term life insurance policies play an important role in the employee welfare and retention scheme.