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In the realm of corporate insurance, two terms often surface – GPA (Group Personal Accident) and GMC (Group Medical Insurance). Both types of policies are frequently adopted by employers in India as part of their employee welfare programs. Despite their commonality, they each serve distinct purposes, and understanding their differences is key for both employers and employees alike.

What is a GPA Insurance Policy?

GPA insurance policy, also known as group personal accident insurance, provides coverage to employees for any accidental injury or death that may occur during the policy period.

The features of a GPA policy include:

  1. Coverage for accidental death and permanent or temporary disablement.
  2. Compensation based on the nature of the injury and its impact on the employee's earning capacity.
  3. Provision of coverage 24x7, making it globally applicable.

What is a GMC Insurance Policy?

GMC Policy also known as Group Mediclaim Policy are prevalent in corporate organizations. They extend health coverage to the employees, safeguarding them against unexpected medical expenses.

The benefits of GMC policies typically include:

  1. OPD(Outpatient Department) Coverage
  2. In-patient hospitalization coverage.
  3. Pre and post-hospitalization expenses.
  4. Daycare procedures.
  5. Maternity benefits, if included in the policy terms.

GPA vs. GMC Insurance Policies - Difference between GPA and GMC Insurance Policies

While both GPA and GMC policies aim to protect employees, they differ in terms of coverage scope:

Features

GPA Insurance

GMC Insurance

Coverage

Accidental injuries, Death, Child education cover, Repatriation of mortal remains

Comprehensive health coverage

Other names

Personal Accident Cover for Employees

Corporate Insurance and Employer-employee Insurance

Target Group

Groups of individuals

Often offered as employee benefit

Customisation

No customisations can be made.

Offer a wide scope for customisation based on the number of employees, industry of the employer, type of occupation, etc.

Worldwide Coverage

Yes

Varies depending on policy

Additional Benefits

Hospitalization coverage, medical expense reimbursement, emergency medical evacuation

Coverage for pre-existing conditions, maternity coverage, network of hospitals and doctors

Cost

Varies based on factors like group size, coverage limits, and additional benefits

Varies based on factors like group size, coverage limits, and specific policy features

In conclusion, both GPA and GMC insurance policies are invaluable tools for organizations to secure their employees' wellbeing. By understanding their distinct features, employers can better decide how to balance these options, and employees can better appreciate the benefits provided to them.

Frequently Asked Questions (FAQs)

1. Can an employer opt for both GMC and GPA policies?

Yes. Many employers opt for both policies as they cover different aspects – GPA for accidents and GMC for health-related expenses.

2. Does GPA policy provide coverage for natural death?

No. A GPA policy only provides coverage for accidental death or disability.

3. Is the coverage of a GMC policy limited to the workplace?

No. A GMC policy provides health coverage to the insured, irrespective of the location where the health issue arises.

4. Can family members be covered under GMC?

Yes. Many employers extend GMC benefits to the employee's immediate family members as well.

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