Why is relying solely on employer group life insurance generally considered inadequate for most individuals' needs?

Relying solely on employer group life insurance is often considered inadequate primarily because it may not provide enough financial support to cover the end-of-life expenses that can arise. Group life insurance policies typically offer a limited benefit amount, which may not be sufficient to cover funeral costs, debts, or other financial obligations that arise after death. For many individuals, these expenses can be significant, and the benefits from a group policy may fall short of what is actually needed to provide for their loved ones or to settle their financial affairs.

Employer group life insurance can also have specific limitations, such as being tied to the duration of employment, which means that once a person leaves their job, they may lose their coverage. Additionally, the lack of portability and cash value accumulation can further compound the inadequacy of relying solely on this type of insurance. However, these factors support the notion that group life insurance may provide insufficient financial resources but are not the primary reason for considering it inadequate compared to the potential financial shortfall in covering end-of-life expenses.