Group Life Insurance

Group Insurance is an instrument for providing life insurance coverage (protection) to a number of individuals under a single contract (policy) who are associated together for a common interest other than insurance. It is the most cost effective means to provide immediate financial support to an insured member and/or his family in case of devastating events like-death, disability, disease as well as retirement. Group Insurance has already established its importance as a component of "Employee Benefit Package" in Bangladesh. Exclusive features of Group Insurance are:

  • Insurance coverage to a number of individuals under a single contract
  • Simple insurable conditions
  • Easy administrative procedure
  • Prompt claim settlement
  • Affordable premium
  • Tax exemption on premium

Delta Life offers a host of Group-Life Insurance schemes from which an organization/ employer may choose for benefits of its members/employees, as may best serve their interest according to organizational setup.

To be treated as a group, the following criteria need to be fulfilled.

  • A "Group" Should comprise of at least 15 members
  • It should be a legitimately organized body

Group clients of Delta Life Insurance Company Limited include:

  • Semi-Government organization, autonomous bodies
  • Private, Non-Government Organizations (NGO's)
  • Educational & Financial Institutions
  • Public Limited Companies
  • Associations, Business organizations etc.

Group Life Insurance Schemes offered by Delta Life are of two types:

  • Traditional Schemes: For insurance coverage of members/employees of a Group
  • Exclusive Schemes: For insurance coverage of clients of Financial Institutions

Traditional Scheme:

These are the commonly offered "Group-Life Insurance" schemes and are also known as Basic Schemes: These are:

Short Term Contract

  • Group Term Life Insurance Scheme (GT)
  • Group Term Life with Premium Refund Scheme (GTR)

Long Term Contract

  • Group Endowment Life Insurance Scheme (GEN)
  • Group Pension Scheme (GP)

There are several variants of Basic Schemes. Examples of two variants of GTR are

  • GTR-100/10: Group Term Life with 100% Premium Refund after 10 years
  • GTR-50/10 : Group Term Life with 50% Premium Refund after 10 years

Salient features of the Basic Schemes:

Group Term Life (GT)
  • Insurance coverage worldwide round the clock
  • Contract, Initially for three years and is Renewable
  • Simple Claim procedure
  • Prompt claim settlement upon death of an insured
  • Option to alter sum assured at any time
  • Exclusion & Inclusion of members under coverage at any time
  • Premium Rate- comparatively lowest among the basic schemes
  • Option for supplementary covers to enhance benefit
  • Profit Sharing options for large groups
Group Term Life Insurance with Premium Refund (GTR)
  • Insurance coverage worldwide round the clock
  • Contract, initially for ten/fifteen years
  • Simple Claim procedure
  • Prompt claim settlement upon death of an insured
  • Exclusion & Inclusion of members under coverage at any time
  • Reasonable Premium Rate, but higher than GT Scheme
  • Refund of basic premium (full/partial) on completion of term or retirement
  • Payment of Surrender Value in case of Policy discontinuation & exclusion
  • Conversion Privilege to take Individual Life Insurance Policy in lieu
  • Option for supplementary covers to enhance benefit
Group Endowment Life Insurance (GEN)
  • Insurance coverage worldwide round the clock
  • Continuous Contract, unless terminated by either party
  • Simple Claim procedure
  • Prompt claim settlement upon death of an insured
  • Exclusion & Inclusion of members under coverage at any time
  • Premium rate-age dependant and variable
  • Payment of sum assured as per contract on retirement
  • Payment of Surrender Value in case of discontinuation
  • Conversion Privilege to take Individual Life Insurance Policy in lieu
  • Option for supplementary covers to enhance benefit
Group Pension Scheme
  • Provides for quarterly/yearly pension based on last salary
  • Continuous Contract, unless terminated by either party
  • Scope for taking "Death in Service" benefit
  • Scope of taking "Joint life last survivor pension" benefit
  • Scope for life pension with/without guaranteed payment period
  • Exclusion & Inclusion of members under coverage at any time
  • Premium rate- age dependant and variable
  • Payment of Surrender Value in case of discontinuation
  • Option for supplementary covers to enhance benefit

Features Basic Schemes
Group Term Life (GT) Group Term Life with Premium Refund (GTR) Group Endowment Scheme (GEN)
Age Limit for Insurance Coverage 18 to 60 Years 18 to 60 Years 18 to the age of retirement (Max. 60 years)
Duration of Contract 3 years in each spell 10 or 15 years in each spell Continuous Contract, if not terminated
Scope for Inclusion & Exclusion Yes Yes Yes
Scope for Alteration of Sum Assured Yes Yes Yes
Premium Rate Single & Fixed (irrespective of age), Low Single & Fixed (irrespective of age) Variable; age dependant premium rate
Benefits
Death (payment of Insured amount on death) Yes Yes Yes
Maturity Benefit None None Payment of Sum Assured as per contract during retirement
Premium Refund None Refund of Premium as per contract on retirement or completion of term. Payment of surrender value in case of non completion of term None
Profit Share Provided to large groups only None None
Supplementary Covers on Basic Scheme Optional Optional Optional
On Payment of Additional Premium
  1. Accidental Death Benefit (ADB)
  2. Permanent Total Disability (PTD)
  3. Permanent Partial Disability (PPT)
  4. Dismemberment Benefit (DB)
  5. Major Disease Benefit (MDB)
All or any one of those may be taken except DB which is offered only with ADB All or any one of those may be taken except DB which is offered only with ADB All or any one of those may be taken except DB which is offered only with ADB

Supplementary Covers:

To provide insurance protection against few devastating conditions other than death, and to enhance insurance benefit in case of sudden accidental death, several Supplementary Covers are offered along with basic schemes. Supplementary covers include:

  • Accidental Death Benefit (ADB): Provides for double sum assured in case of accidental death.
  • Permanent and Total Disability Benefit (PTD): Provides for full sum assured on happening of defined risks.
  • Permanent & Partial Disability Benefit (PPD): Provides for certain percentage of the sum assured as per schedule on happening of the defined risks.
  • Dismemberment Benefit (DB): Provides for a certain percentage of Sum Assured as per schedule on happening of the defined risks. It is only offered with ADB.
  • Major Disease Benefit (MDB): Provides for 25% or 50% of S.A. upon diagnosis of a few specific life threatening diseases

Exclusive Schemes:

These are schemes, especially designed for financial institutions, in order to secure their investment and adorn the product to make it attractive to customers as well as to protect interest of the client. Few examples are:

  • Home Loan Insurance: e.g; Scheme for "Home Loan Borrowers" of Delta Brac Housing
  • Depositor's Insurance: e.g; Scheme for "Smart Plant" Depositors of Dhaka Bank Ltd

Premium:

For traditional schemes: Premiums are usually payable annually in advance before commencement of insurance.

For exclusive schemes: A single premium is payable for the whole period of coverage before commencement of insurance.

**Details about the schemes are provided with "Insurance Proposal"

How to get a Group Life Insurance Proposal?

For Proposal: fill in the Proposal Request Form and send it to us at our contract address

For Quotation: fill in the "Proposal Request Form" and send it to us at our contract address accompanied by the list of members to be insured with following details

Sl# Name Designation Date of Birth Sum Assured
         

*If sum assured depends on salary, mention salary and desired multiple to determine Sum Assured

Claims are settled to the concerned organization.