As admirable as this is (they're basically giving employees a free, low hassle premium life insurance plan), I can't help but feel that this is a will calculated way to widen the gap between goog and startups. I imagine employee spouses have a huge reason now to talk their partners out of leaving their cushy job. 'If not for yourself then think of us...'
That argument is true for just about any company's benefits. Even without this, startups generally offer much less in the way of life insurance, health insurance, time off, and various miscellaneous benefits. All of these provide a much higher quality of life to the family than their absence, and most of them even operate while the employee is alive. :-)
If a spouse is already supportive enough of the startup choice to forgo all that? I doubt the extra google life insurance will change their mind.
(Incidentally, I also think that the most responsible thing you can do if you have a family and you're founding or joining a startup, is to buy your own high-value life insurance policy immediately.)
I think there are many significantly more important reasons that differentiate Google and start ups that can not be compensated by paying into a private life insurance plan (that all start up's I've previously worked at had an option for).
When startups offer higher salaries or better working conditions or other benefits than other startups, they are engaging in "a calculated way to widen the gap" as well.
Is the problem that Google is too big to do grossly unfair things like trying to retain employees by treating them well?
