Group life insurance isn't something a lot of us like to think about, and for good reason. But it's vital to have, especially if you have a partner and/or family to look after. Then, if you pass away unexpectedly, those you leave behind will have a vital line of financial support that can help replace your lost income, allowing them to maintain their standard of living and avoid financial hardship.So what is group life insurance? Quite simply, it's a type of life insurance that is purchased by an employer or other organisation for its employees or members. This type of life insurance is generally less expensive than individual life insurance because the insurance company is spreading the risk over a larger group of people.If you're looking into getting group life insurance for your staff, you want to get the best deal for both your company and your people. But sometimes, the amount of confusing jargon you encounter in your research can get in the way of that. To help you out, we've put together a list of the most commonly used terms in group life insurance, and quick explanations of what they mean, in words that one can easily understand if insurance is an entirely new subject to you.BeneficiaryThe beneficiary is a person or persons who will receive the death benefit from the insurance company if an employee dies. Beneficiaries may include the insured person's family members, such as spouses, children, or other dependents. The insured individual needs to keep the beneficiary designation up to date, especially in the case of life changes such as marriage, divorce, or the birth of children.ClaimA claim is a request for payment from the insurance company under the terms of the group life insurance policy. When the insured person covered under a group life insurance policy passes away, the designated beneficiaries must file a claim with the insurance company to initiate the process of receiving the payment.CoverageCoverage refers to the amount of money the insurance company promises to pay out to the designated beneficiaries if the insured employee dies. The coverage amount is also known as the cover benefit, death benefit or sum assured, and it is determined by the terms of the group life insurance policy. It's crucial for individuals covered by group life insurance to understand the extent of their coverage, including any limitations or exclusions outlined in the policy.DeductibleA deductible is the amount of money the insured must pay out of pocket before the insurance company will pay any claims. In group life insurance, however, there is typically no deductible. The beneficiaries typically receive the full predetermined coverage amount when a valid claim is submitted.ExclusionsIn group life insurance, exclusions refer to specific conditions or circumstances under which the insurance policy will not provide coverage or pay out a death benefit. These may include the situation in which the insured person has died by suicide or engaged in criminal activity. Exclusions may also apply where the insured person has provided inaccurate or incomplete information on their insurance application.ExecutorAn executor is an individual responsible for ensuring that the deceased person's wishes are fulfilled and that the estate is settled according to legal requirements. The role of an executor in the context of group life insurance only becomes significant when there are no designated beneficiaries, or when the designated beneficiaries are not alive at the time of the insured person's death. In this case, the executor will be involved in the process of distributing the funds in accordance with the deceased person's will or legal requirements.Joint life insuranceJoint life insurance isn’t as common in South Africa as some other regions, but it does exist. This is a type of life insurance policy that covers two individuals, typically a married couple or civil partners, under a single insurance contract. It is designed to provide a death benefit when one of the insured individuals passes away. The death benefit is either paid out to the surviving policyholder or their surviving beneficiaries.Life assuranceLife assurance is a form of life insurance that provides coverage for the entire lifetime of the insured individual. Other life insurance policies, in contrast, only provide coverage during a specific period.Policy ownerThe policy owner is the person or entity who owns the life insurance policy. In group life insurance, that will usually be the employer or its representative. Depending on the specific policy terms, the policy owner may have the authority to make decisions, such as choosing beneficiaries, modifying coverage, and accessing certain policy benefits. PremiumThe premium is the amount of money that the policyholder pays to the insurance company for the group life insurance policy. It is typically paid monthly, though not exclusively.Proof of InsurabilityProof of Insurability refers to documentation that the insured must provide to the insurance company to prove that they are insurable. This information is needed by insurers to evaluate the potential financial risks of insuring the individual.Revocable beneficiary A revocable beneficiary is a term used by life insurers to describe a beneficiary whose designation can be altered or revoked by the policy owner without requiring the consent of the beneficiary. In other words, the policy owner retains the flexibility to change or remove the revocable beneficiary from the policy.Term of InsuranceThe Term of Insurance refers to the specified length of time during which the insured is protected by the policy.UnderwriterAn underwriter is a professional in the insurance industry responsible for assessing and evaluating the risk associated with insuring a person or entity and determining the terms and conditions of the insurance coverage.Whole Life InsuranceWhole Life Insurance is a type of group life insurance policy that provides lifetime coverage and accumulates cash value. It normally combines a death benefit with a cash value component, offering both protection and a savings or investment feature.About YuLife.YuLife is working to reimagine the insurance industry by protecting lives, rewarding living and inspiring life. We’re on a mission to transform traditional insurance into a life-enhancing experience each employee will value and use daily. How does it work? Our award-winning app uses behavioural science and game mechanics to reward your people for living well while offering protection in case of crisis. And with our top-rated employee assistance programme, your team gets access to mental, financial and social support, virtual GPs, nutritionists, life coaches and more to help them live their best lives.Because we believe that your employees should benefit from their insurance from day one — and that wellbeing should be accessible every day, for everyone.Request a demo for your team today.