Executives Executives covered under a company's group life insurance plan can often obtain better benefits by being removed from the group plan and given separate individual policies provided by the employer. Removing executives from a group plan does not alter the qualified status of the group life plan for the remaining employees. All coverage is taxable at the lower of PS58 rates or insurer's term rate. Premium deductibility to the corporation Fully. Depending on the goals of the corporation and the way that the insurance is set up, deductibility varies Cost to corporation Increases as group ages.
Most plans are level premium contracts.
Section 79 requirements apply. Section 79 requirements apply. Generally benefits must be uniform percentage of compensation for all participants. Coverage can vary from executive to executive. Underwriting Group underwriting depending on size of group and is usually guaranteed issue.