What is Death In Service?
Death In Service otherwise known as Group Life Assurance is a benefit that enables employers to provide a lump sum benefit payment, or in addition a long term income, to an employee’s family or dependents if they should die whilst employed. In contrast to a Relevant Life Plan it is intended for a minimum of three to five members.
You choose a multiple of salary or a fixed amount to insure as a lump sum benefit. For instance, the maximum benefit is 10 times annual salary, although it is up to each employer to decide how much cover to provide.
Underwriting is normally not required for Death In Service, this is the process where an insurer will decide whether or not to offer you a policy.
*please obtain your own tax advice from a professional specific to your own circumstances before making any decisions