What is the main advantage of Group Insurance over individual insurance?

The main advantage of Group Insurance is that collective bargaining power often results in lower rates. When individuals come together to form a group, they can negotiate more favorable terms with insurers than they would be able to as individuals. This collective approach typically leads to lower premiums because the risk is spread across a larger number of participants. Insurance companies are more willing to provide lower rates to groups because the larger pool generally results in more stable and predictable claims.

Furthermore, group insurance often includes benefits that might not be available or affordable to individuals seeking coverage on their own. The group arrangement can also lead to simplified enrollment processes, reduced underwriting requirements, and enhanced coverage options provided to the group as a whole, making it a more attractive option for many individuals.

While higher premiums for enhanced coverage, fewer coverage options, and individual assessments for determining premiums represent characteristics of insurance policies, they do not highlight the core advantage of group insurance. The ability to leverage the collective power of a group is what primarily distinguishes group insurance from individual insurance plans.