Group Long Term Insurance Essay Example | Topics and Well Written Essays - 1250 words

separate Long Term Insurance - Essay ExampleEmployer-based multitude long limit redress is an essential comprehensive benefits package that offers long term insurance to the employees (Wiener and Illston 66). Reasons for use There are numerous advantages for enrolling in a group long term insurance since the patient does not need to meet any medical requirements before obtaining the group long term polity cover. The relatives and immediate family members of the individual may as well as be covered, since many group long term manage policies allow the retirees and spouses to apply for the long term care coverage. If the group long term insurance consists of a high proportion of relatively younger employees, the insurance provider will be able to name lower premiums compared with the individual long term plans (Beam and McFadden 357). Group long term insurance helps protect the employee retirement plans. Well informed employees understand that without a Group long term care, me dical expenses after retirement can adversely deplete the employee portfolio of assets (Beam and McFadden 369). Some Group Long term insurance policies enable employees to get down benefits and care from any place in the world. The Group long term insurance eases the emotional and physical burden of the family members since they are involved in the care-giving subroutine but are not the primary providers. Group long term insurance covers the costs of care received at home, in the community and also in the nursing homes (Beam and McFadden 378). There are various benefits that accrue to employers who provide Group long term care to their employees. The employer is able to retain the most subordinate and skilled employees in the company therefore reducing production losses associated with work stoppages (Beam and McFadden 357). Group long term insurance acts as an incentive of attracting and hiring reinvigorated employees in the Company. The insurance cover offers the employer a co mpetitive edge since it is an alternative to increasing salaries (Long Term Care Insurance 2). The employees will also receive extra benefits from the Group long term insurance since other programs like training of caregivers and care providers are included in the insurance plan. The employees also receive economic aid on claim filling and can enjoy other wellness programs that may be incorporated in the Group long term insurance (Long Term Care Insurance 3). Administration and process All the insurance products for group long term insurance are consistent with Long term Insurance Model Act. HIPAA has imposed several standards that have led to increase in the coverage. The Act has reduced the revenue losses associated with coverage due to changes in the income tax codes. For eligibility to favorable tax treatment, the insurance contract should be qualified therefore contract is guaranteed renewable and all the refunds of premiums and dividends are applied as approaching reduction s in premiums or to increase the future benefits (Beam and McFadden 360). The cost of the group long term insurance is covered by the employee. The initial premiums are calculated on five year age period brackets and increase significantly with the increase in the age of the employee (Wiener and Illston 65). Most of the States require the insurance companies to protect the benefits of employee from