What is Group Life Insurance?
Group Life Insurance is used as an employee benefit. It provides an employee’s dependants with a tax-free lump sum benefit and/or taxable pension if they die whilst in service.
Registered Group Life Insurance
Our Registered Group Life and Dependants’ product provides benefits to members of a UK occupation pension trust; either a tax-free lump sum up to the Lifetime Allowance (LTA), or dependants’ pension, or both.
People insured under the policy can have different levels of benefit, e.g. Managers could have 4 x salary; junior staff could have 2 x salary.
Registered Group Life customers* also have access to our free Master Trust.
*The Master Trust is only offered for lump sum benefits, not dependants' pension. We are also unable to offer it to Equity Partners.
Excepted Group Life Insurance
Excepted Group Life Insurance provides tax-free benefits and is sometimes used for high earners. It allows for lump sum benefits to be paid outside of the Lifetime Allowance (LTA).
The Excepted policy does not have to be linked to a Registered Group Life policy.
All people insured under the policy must have the same level of benefit, e.g. 4 x salary.
Supplementary Group Life Insurance
For top employees, our Supplementary Group Life Insurance provides top-ups to take lump-sum benefits above the Lifetime Allowance (LTA).
It must be linked to a Registered Group Life policy.
Unum Select Group Life Insurance
Unum Select Group Life Insurance provides employers with a range of flexible funding options. A maximum benefit of up to £500,000 is available, but no dependants’ pension is offered.
The policy is administered online and has a heavy focus on communication to help ensure the product is understood and valued by employees.
Channel Islands and Isle of Man
This product is specifically for companies registered in the Channel Islands or Isle of Man (where policies are outside the UK HMRC jurisdiction). It provides either a lump sum or dependants’ pension, or both.
Master Trust - Group Life
If your client takes out a Unum Registered Group Life policy, they will automatically be given access to our free Master Trust.
They can use the Unum Master Trust – which has its own Scheme Administrator and Trustees – instead of having to set up their own.
This means they’ll get all the tax benefits with none of the associated costs or time-consuming and complex set-up and administration.
Note: The Master Trust is only offered for lump sum benefits, not dependants’ pension. We are also unable to offer it to Equity Partners or Excepted Group Life policies.
All our Group Life products come with a bereavement service built-in.
This comprehensive service includes telephone counselling sessions plus an information pack designed to help dependants through this difficult time.