Who holds the contract
In a group plan, the contract binds the insurer and the employer: you are a participant, not the policyholder. The employer can amend the plan, change insurers, or end it, without your agreement.
Medical underwriting
Joining a group plan often requires no evidence of insurability, a real advantage for someone whose health has declined. An individual contract requires underwriting, but then guarantees the terms you obtained.
Definitions are generally less favourable
Group plans frequently use a disability definition that switches to “any occupation” after an initial period, and coordinate benefits with public plans. A well-drafted individual contract is often stronger on this point.
Taxation of the benefit
Where the employer pays the premium, the disability benefit is generally taxable. Where the employee pays it in full, it is generally non-taxable. The same gross amount therefore does not produce the same net income.
Leaving ends the coverage
A resignation, dismissal, layoff, or retirement generally ends the protection, sometimes with a short conversion right. The moment you lose coverage is also the moment your insurability may have changed.
The case for an individual base
Many professionals keep a core individual contract, bought young and healthy, and rely on the group plan for the top-up. The base stays, whatever happens to the job.
No rate, price, or recommendation on this page. Amounts and limits change: verify them with official sources before deciding.