Who pays the premium in a noncontributory group policy?

• A. Employer
• B. Employee
• C. Insurer
• D. Government

Answer: (A)

In a noncontributory group policy, the employer pays the entire premium for eligible employees. The employer is the policyowner and funds the coverage, so employees don’t contribute through payroll deductions. This is different from contributory plans, where employees share in the premium. The insurer collects payments from the employer, not the employee.