Group Benefits Insurance in Tennessee

Group health insurance provides coverage for a group of individuals, typically employees of a company or members of an organization. It is a collective insurance plan that offers health care benefits to all eligible group members, including employees and often their dependents. Employers usually purchase group health insurance plans as part of an employee benefits package, with the cost shared between the employer and the employees. These plans may help cover medical services, hospitalization, prescription drugs, preventive care and other health care expenses. Compared to individual health insurance policies, group health insurance typically offers more advantages, such as lower premiums, broader coverage options, and easier access to health care services.

Group insurance and individual insurance differ in several key aspects. Group insurance is provided to a collective of individuals, typically employees or members of an organization, while individuals directly purchase individual insurance. The premium structure varies, with group insurance premiums generally lower due to the shared risk among a larger pool. In contrast, individual insurance premiums are influenced by factors specific to each person.

Employer contributions are common in group insurance, helping offset members’ premium costs. In contrast, the policyholder fully funds individual insurance without employer assistance. The coverage in group insurance is uniform for all members, offering a standardized plan, while individual insurance allows for greater customization to meet specific needs.

Another distinction lies in the association with employment. Group insurance is often tied to employment, and individuals may lose coverage upon leaving the group. On the other hand, individual insurance is portable, allowing policyholders to maintain coverage regardless of their employment status.

Contact a representative at the Mike Dyer Insurance Agency to review group benefits options for your business. We’re licensed in Tennessee, Alabama, Georgia, Ohio, Virginia, North Carolina, South Carolina, Florida, Michigan and Arizona.