Individual Life Insurance

Group Life Insurance

The policyholder owns the insurance contract

The employer or the organization owns the contract and the certificates are issued to the employees.

The policyholder has the power to cancel the life insurance policy.

In a group life insurance plan, the power lies with the employer/company.

The coverage is not affected by the policyholder’s status of employment

One is covered as long as she/he is an employee or a member of the organization

It is based on the individual’s age and medical history. The life insurance company considers all the risk factors.

It is more dependent on the financial strength of the employer or the organization.

A life insurance policy gets costlier as the insured ages.

As it is not dependent on an individual’s risk factor, the longer she/he stays in the organization the lesser it will cost them.