GTL Full Form in Insurance

What is the Full Form of GTL in Insurance?

The GTL Full Form in Insurance is Group Term Life. It basically refers to a life insurance policy taken out for a group of people, usually employees in a company or members of an organization. It offers financial protection to beneficiaries in the event of the insured individual’s death within the policy term.

Group Term Life Insurance Summary:

Group term life insurance is the type of insurance policy provided as a collective policy from an employer or an organization to offer protection, mainly life insurance coverage to the members or staff. It is a guaranteed plan that assures financial protection to the beneficiaries in the event of the occurrence of the individual being insured over a defined period of time.

Employer’s Responsibility:

Normally, GTL insurance is part of an employee’s benefit package in a common employer. They, therefore, take care of administration, which includes the enrollment of the employees and administration of the premiums, in coordination with an insurance provider.

Coverage and Benefits:

Generally, GTL insurance offers coverage in the multiple of an individual’s salary and pays his beneficiaries a lump-sum amount on death. Accidental death coverage or terminal illness benefits may be attached to some of them.

No Medical Underwriting:

One of the biggest benefits of GTL insurance is the fact that, in most cases, an employee would not have to go through medical underwriting so that they can join. This really means even people with pre-existing health conditions can, in a way, be covered under the group policy.