Group Life

Under federal tax laws, what is the tax treatment for an employer providing $50,000 of a contributory group Term Life plan to all its eligible employees?

Portion of the Premiums paid for by the employer may be a tax deduction

Group Life insurance policies are generally written as:

annually renewable term

An employee of 20 years recently retired at age 59 1/2. This employee's group life contract can be

converted to an individual permanent policy at an individual rate

Under a trustee group life policy, who would be eligible for a certificate of coverage?

employee

An employee with $25,000 group term life coverage was recently fired. This employee's group coverage may be converted to a:

$25,000 individual whole life policy

Which of the following statements about noncontributory employee group life insurance is FALSE? A-No Evidence of insurability required B- Must have conversion rights C-A minimum number of employees is required to participate

C- a minimum number of employees is required to participate

A person who's is insured within a group contract will be given a :

Certificate

What is an important underwriting principle of group life insurance?

Everyone must be covered in the group

Which requirement must be met for an association to be eligible for a group life plan ?

Group was formed for a purpose other than acquiring insurance

noncontributory group term life plan is characterized by:

the entire cost of the plan is paid for by the employer