Employee benefits are defined as a form of compensation paid by employers to employees over and above regular salary or wages. Employee benefits come in many forms and are an important part of the overall compensation package offered to employees. These can include Private Medical Insurance, Group Life and Disability Cover, Income Protection Cover and other. Non-Insurance benefits such as Gym membership today can also fall under such benefits.
Personnel Insurance are policies that cover groups of people, for example employees of an employer, members of an association for the purpose of taking insurance. Group coverage can help reduce the problem of adverse selection by creating a pool of people eligible to purchase insurance. Grouping individuals together allows insurance companies to give lower rates to companies.