Overview: Life insurance is a common benefit offered by employers to their employees. Employees who get life insurance can designate a beneficiary to receive payments on their policy in the event of their death.
With limited exceptions that are stated in the policy (a common example being suicide), the covered individual's beneficiary will receive payment if the insured dies for any reason. Getting the coverage helps reassure the policy holder that his or her family will be protected from an abrupt loss of income.
Trends: In many states, laws have been created that keep employers from discriminating against employees or potential employees for off-duty participation in undesirable but legal conduct, such as smoking. However, when it comes to life insurance, some of those laws do allow higher premiums for smokers.
Ashley Shaw, JD, Legal Editor
Updated to reflect forthcoming paid family leave insurance law.
Updated to reflect amendments to the California temporary disability and paid family leave benefits law, and applicability of San Francisco's Paid Parental Leave Ordinance to smaller employers, effective January 1, 2018.
Updated to include the state paid family leave benefits law, effective January 1, 2018.
Updated to incorporate the Universal Paid Leave Amendment Act of 2016, effective April 7, 2017.
Enhanced by the addition of a new law in New York City requiring employers to offer commuter benefits to full-time employees, enforced as of July 1, 2016.
Updated to incorporate a law encouraging employers to offer a group disability income protection plan, effective July 29, 2016.
In-depth review of the spectrum of Maryland employment law requirements HR must follow with respect to insurance and disability benefits.
In-depth review of the spectrum of Massachusetts employment law requirements HR must follow with respect to insurance and disability benefits.
In-depth review of the spectrum of Michigan employment law requirements HR must follow with respect to insurance and disability benefits.
HR guidance on life insurance coverage.