What Is Group Life Insurance? 
Group life insurance is a master policy held by an employer for all employees who receive a certificate of insurance by being employed for a company . Usually the employer pays the premium and it is typically a guaranteed issue life insurance plan . The most common plans are term life insurance ranging from $ 10,000 to $ 50,000 face amount . Some other plans are tied to an employees salary such as 2 times or 5 times annual salary to calculate the face amount . In most cases the employee loses coverage on the day employment is terminated for any reason . Always be sure to purchase enough life insurance on your own personal plan to protect your loved ones . Use your `` free '' group benefit as a supplement . I have never seen a widow turn down a life insurance proceeds check because it was just too much money at their time of need yet . 