Employers can arrange Group Critical Illness policies through a Life Office on behalf of employees.

Employees are banded together by age group and/or amount of cover required and a single rate premium is payable for each policy. Individual policies are not underwritten based upon medical history and lifestyle factors and therefore can be significantly cheaper than if Critical Illness Cover was purchased individually. Despite this reduction in underwriting pre-existing medical conditions are excluded upon a claim.

Cover can be a fixed amount or a multiple of salary and tends to be payable after a period of 14 – 30 days after diagnosis of a critical illness providing the policyholder survives. Underwriting of the Group Critical Illness plan is considered on an occupational basis.

If the employer pays the monthly premium on behalf of the employee this is taxable as a benefit-in-kind. If a claim is made the benefit itself is payable tax free.