Insurance
Do you have life insurance through work?
Many people do and don't know it.
Current as of October 2026. Laws and figures can change — see full disclaimer.
Many employers include basic life insurance as a benefit, often at no cost to you. Because it's set up automatically, it's easy to forget about, and families sometimes don't know to claim it.
How to check
- Your employer's benefits portal or open enrollment materials
- Your pay stub, which may list life insurance as a deduction or benefit
- Your HR department
Common features
- Coverage is often a flat amount or one to two times your salary.
- You may be able to buy extra coverage for yourself or your family.
- It usually has its own beneficiary form, separate from any personal policy.
When you leave the job
Work coverage usually ends when employment ends. Some plans let you keep it by converting it to an individual policy or paying for it yourself, within a short window after you leave, often around 31 days, depending on the plan.
Under IRS rules, employer-paid coverage above $50,000 counts as taxable income. Coverage above that amount shows up on the W-2 in Box 12 with code C. Coverage of $50,000 or less doesn't appear on the W-2, so the benefits portal or HR is the surer way to check.
- Tax-free employer coverage limit: $50,000
- Where it shows on W-2: Box 12, code C
- Last verified: October 2026 against irs.gov