Group Term Life Insurance: Life Cover for Your Entire Team

Life insurance is one of the most meaningful benefits an employer can offer. Group term life insurance gives your whole team life cover under one simple plan. It is often easier and cheaper to set up than you might expect.

With over three decades of experience, our IRDAI-licensed advisors at Excel India IMF help companies across India set up group term life, or GTL insurance, cover for their teams.

Team covered by group term life insurance
  • Covers your entire workforce under a single master policy
  • Simplified or zero medical tests required up to non-medical limits
  • Premiums treated as fully deductible business expenses

Get a GTL Quote

Compare corporate life insurance plans tailored to your team size

This field is required.
This field is required.
This field is required.
India +91
Please enter a valid 10-digit mobile number.
This field is required.
This field is required.

What Is Group Term Life Insurance

Group term life insurance is a single group life insurance policy that covers many employees at once. If an employee passes away while covered, the policy pays a benefit to their chosen nominee. The employer usually arranges and pays for this cover as part of the benefits package.

Policy Note: GTL policies provide pure risk protection during active employment, ensuring families receive immediate financial support during difficult times.

How It Works

The employer buys one policy that covers the whole team or a defined group within the company. Coverage often starts as soon as the employee joins the plan, often with simpler or no medical tests, up to a certain cover limit. This makes it faster and easier to set up than individual life insurance for each employee.

1

Master Policy Purchase

The employer selects a group policy covering all staff members or specified cadres across the company.

2

Instant Onboarding

Coverage begins as soon as employees join, with simplified or no medical tests up to free cover limits.

3

Nominee Payout

In the unfortunate event of an employee passing away, the full insured benefit is disbursed directly to their nominee.

Benefits for Employers and Employees

Discover why employee life cover is one of the most effective tools for corporate goodwill, retention, and family security.

For Employers

For employers, GTL insurance is a valuable, low-cost way to support employees and their families. It also helps attract and retain good staff, since life cover is a meaningful benefit. Furthermore, premiums paid for GTL policies are eligible business expenses under the Income Tax Act.

For Employees

For employees, GTL gives their families real financial protection, often without needing to pass a full medical test and without having to arrange or pay for the policy themselves. It provides peace of mind knowing loved ones have a financial safety net.

To construct a well-rounded employee benefits package, coordinate GTL with Employee Group Health Insurance and Group Personal Accident Insurance.

GTL vs Individual Term Insurance

Group term life insurance and individual term insurance both provide life cover, but they work differently. Here is a simple comparison.

Feature Group Term Life (GTL) Individual Term Insurance
Who pays The employer, as part of the benefits package The individual, from their own funds
Medical tests Often not needed, or simpler tests, up to a limit Usually needed, based on age and cover amount
Cover after leaving the job Ends when the employee leaves the company Continues as long as premiums are paid
Coverage amount Often a fixed multiple of salary, set by the employer Chosen freely by the individual, based on their needs

Important Portability Notice

Group term life cover ceases when the employee leaves the organisation. This is an important point to understand before relying on GTL as your only life cover. For lifelong, uninterrupted protection that stays with you across jobs, we strongly recommend holding your own standalone Term Insurance policy.

Coverage Options

Employers can customize their group term plan and corporate life insurance structure based on organizational grades or salary multiples.

Flat Sum Insured

Employers can often choose a flat coverage amount for everyone across the entire organization, providing equal protection to all team members.

Salary Multiple Cover

Life coverage set as a multiple of each employee's annual CTC or basic salary (e.g., 2x to 5x annual salary), scaling protection with seniority.

Voluntary Top-Up Cover

Some plans also allow employees to buy extra voluntary cover on top of the base amount, at their own cost, using discounted corporate group rates.

IRDAI licensed advisor explaining group term life insurance

Over 33 Years of Trust

Corporate life insurance and employee benefits advisory across India

Why Choose Excel India IMF

Excel India IMF brings over three decades of experience to corporate life insurance planning. Our IRDAI licensed advisors help you set up GTL cover that fits your team size and budget, and we explain clearly what happens to cover if an employee leaves the company. We also help you integrate broader enterprise protections through our specialized Corporate Insurance solutions.

IRDAI-Licensed Advisors
Multi-Insurer GTL Comparison
Customized Free Cover Limits (FCL)
Dedicated Corporate Claim Support
Group term life cover ceases when the employee leaves the organisation.

Frequently Asked Questions

Answers regarding GTL definitions, comparison with individual term plans, portability, and taxation

It is a single life insurance policy that covers a group of employees. If an employee passes away while covered, the policy pays a benefit to their nominee.

GTL is arranged and often paid for by the employer, usually with simpler medical checks. Individual term insurance is bought and paid for by a person on their own, and continues regardless of their job.

Group term life cover usually ends when the employee leaves the organisation. This is why many people also choose to have their own individual term insurance, which continues no matter where they work.

This depends on the specific plan. Some employers offer a fixed amount for everyone, while others allow employees to add voluntary extra cover at their own cost.

Premiums paid by the employer for GTL are often treated as a business expense, which can reduce taxable income. This is subject to the provisions of the Income Tax Act, so please confirm with a tax advisor.

Get a GTL Quote

Get group term life insurance for your employees. Request a quote by calling 90 90 92 15 15.

Group term life cover ceases when the employee leaves the organisation.

Related Corporate & Employee Benefits Solutions