Employer Employee

Insurance
Companies, firms and organizations world over have realized that they must provide quality based business
products and services to the customers at a fast rate and with utmost convenience.

They have also realized the importance of offering various tangible and intangible benefits to employees of
the company. They have also realized that losing an employee to another company or due to illness or
accident comes with a cost to the company. To ensure employee loyalty and also to ensure that
employees contribute their best to the development and progress of the company and perform
at an optimum level, employers provide several employment benefits.

One such benefit is providing adequate security cover and insurance against exigencies, thus showing
the employees that the firm, company or organization truly cares for them.

Wondering what would be the most suitable solution for providing insurance benefit to employees?

The solution to this is Employer-Employee insurance

Scheme A
In scheme A, Employer is proposer and
Individual Employee is the life to be insured
Features:
• Employer owns and retains the right to
assign the policy to the respective
employee, the time and manner of which
is defined at the introduction of the
policy or scheme.
• Employer pays the premium which is
treated as deductible business expense.
Scheme B
In scheme B, Individual Employee is both the
proposer and the life to be insured and only
premium is paid by the employer.
Features:
• Employee retains control over the policy
as the owner of the policy.
• Employer pays the premium and treats it
as deductible business expense. In some
cases, the premium is deducted from the
salary of the employee.
 Benefits for Employer Benefits for Employee
• Employers are eligible for tax benefits under • Employees get a sense of being taken care of
the Income Tax Act by the Employer
• Employer’s contribution towards employee • Employees feel motivated to perform more
welfare, loyalty, motivation and efficiency effectively and efficiently
• Employers create a congenial working • Employees may decide to stay with the
atmosphere and enhance the esteem of the Company for a longer duration.
Company

Eligibility for Employer-Employee:

• Employee should be on the pay rolls of the Employer and should be in full time employment.
• Employee should be of Indian origin. The Employer-Employee insurance scheme cannot be given to
foreign nationals even if they are based in India.
• NRI’s can apply under this scheme provided NRI is the employee and employer has a registered
office in India. However the underwriting decisions will be made on the merits of the case.
• For maximum SA to be offered income multiple guideline of financial underwriting to be followed.

Disclaimer: Edelweiss Tokio Life Insurance Company Limited | IRDAI Regn. No.: 147 BEWARE OF SPURIOUS PHONE CALLS AND FICTITIOUS/FRAUDULENT OFFERS
CIN: U66010MH2009PLC197336. IRDAI clarifies to public that
Registered Office: Edelweiss House, Off CST Road, Kalina, Mumbai 400098 – IRDAI or its officials do not involve in activities like sale of any kind of insurance
Corporate Office: 3rd & 4th Floor, Tower 3, Wing 'B', Kohinoor City Mall, Kohinoor City, Kirol Road, or financial products nor invest premiums.
Kurla (W), Mumbai 400070. Toll Free No.: 1800 212 1212 | Fax No.: +91 22 7100 4133 – IRDAI does not announce any bonus.
www.edelweisstokio.in | Advt No.: Fl/12/June 2016 – Public receiving such phone calls are requested to lodge a police complaint
along with details of phone call, number.