How do I know if I'm eligible for group insurance?

Are you in the market for insurance? 

Insurance comes in many forms: auto, home, and travel, to name a few. In many cases, you have the option of buying a group or individual policy. There are pros and cons to individual and group policies. It’s important to be aware of them before choosing the coverage that’s right for you and your family.

Eligibility

Before choosing between an individual and group insurance plan, it helps to know if you’re eligible for group insurance. When it comes to auto, home and travel insurance, alumni and professional associations often offer group insurance. Start by checking there to see if they’re offered. There’s often a page on the website or brochure that will explain extra perks alumni receive, including insurance.

If you’re able to find group insurance that’s offered, the easiest way to find out if you’re eligible is to apply for insurance coverage. If you’re able to obtain individual insurance, in many cases you should have no problem securing group insurance.

The major benefit of group insurance is that you’ll still enjoy the same group coverage of individual coverage but at preferred group rates. You may be able to save yourself hundreds or even thousands of dollars a year by signing up with a group policy (just make sure the coverage is sufficient and comparable to the coverage that you’d get with an individual policy).

Now that we’ve discussed the eligibility of group insurance, I’ll provide you with a brief overview of the most common types of group insurance.

Auto

If you’re a motorist, group auto insurance is worth considering. For most families, auto insurance is the most costly type of insurance. By choosing group auto insurance over individual insurance, you can save yourself substantial money over the year. Just make sure the coverage is sufficient, especially on the liabilities side, in case you’re involved in a severe accident and injure a passenger or fellow motorist.

Home

If you’re a homeowner with a mortgage, home insurance is a must. Start by seeing if a professional association you’re part of offers group home insurance. Home insurance comes in three main types: basic, comprehensive and broad. Make sure the group policy offers sufficient insurance for your individual situation before signing up.

Travel

Do you do a lot of travelling for business or pleasure? If you’re not covered for travel insurance (or the coverage is insufficient), you might consider signing up for group travel insurance. Travel insurance is essential to have when you’re outside the country. If you were to get sick or injure yourself, you could be stuck paying your medical expenses out of pocket without adequate travel insurance.