There are rumors saying that the most affordable way to get life insurance coverage is to purchase group life insurance. What is life insurance and where can I get it?

Group life insurance isn't a difficult concept to comprehend. It's a life insurance policy in which a single contract has the ability to cover an entire group of people.

Usually, the life insurance policy owner is an employer or any other entity. Group life insurance is usually provided as a part of a complete employee package.

Most of the time, purchasing group life insurance is cheaper than individual protection for each person in a group. If you are offered to be in a life insurance group by your employer, you should probably consider it.

When group insurance is offered by your employer, you have a high chance of saving yourself money. If you do accept group life insurance from your employer, then your employer will keep the actual policy (known as "the master contract').

All individuals who are covered under this policy will receive a certificate of insurance. Even though this certificate proves that you are insured, it is not an actual policy.

As with any other life insurance policy, group life insurance will allow you to choose your beneficiary.

Term insurance is the most common form of group life insurance. It is usually provide in the form of yearly renewable term insurance.

When your employer provides group term insurance, the employer will pay most (maybe all) of the premiums. The amount of your coverage is usually equal to one or two times your annual salary.

There are some people who choose not to do this because individual premiums are usually much higher than group premiums. Usually, only people who are uninsurable take this sort of an advantage.

It is always up to you to choose what sort of life insurance you are going to purchase and with what people you are going to be associated with.

The risky part of group life insurance is that if it is offered by your employer, it will only last until your job terminates (you get fired, you quit or you retire).  Keep in mind that as soon as your job goes, so does your insurance.