Life Insurance
Overview of life
insurance coverage
1
Basic and Supplemental Life

Coverage on your life will be the total of your
basic and supplemental life insurance

Your total coverage will be one of the following:
Basic life
1x
1x
1x
1x
1x
+ Supp life
+
none
+
1x
+
2x
+
3x
+
4x
=
=
=
=
=
=
Total coverage
1x your base salary *
2x your base salary *
3x your base salary *
4x your base salary *
5x your base salary *
* If your death is caused by an accident, up to 10x salary will be paid to your beneficiary
Dependent Life Insurance


You may cover your spouse/partner
You may cover your qualified children (to age 19 and
up to age 25 if full-time college student)

If married with children, you may choose spouse
only, children only or take full family coverage
There are 4 levels of coverage
Level
$ 5,000/$ 2,000
$10,000/$ 5,000
$20,000/$10,000
$50,000/$10,000
Amt on spouse
$ 5,000
$10,000
$20,000
$50,000
Amt per child
$ 2,000
$ 5,000
$10,000
$10,000
Plan features




Guarantee issue at hire (up to $650,000)
and spouse/partner coverage up to
$20,000
Evidence of Insurability (EOI) may be
required in the future to enroll into extra
coverage
Group term life insurance – no cash value
Per IRS, imputed income is reported on
your W-2 if your base pay is $50,000+
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Plan features (cont’d)





Accidental Death and Dismemberment
(AD&D) protection on employee coverage
You may convert to an individual policy
upon your terminating employment
Waiver of premium feature, if disabled
Living benefit option, if terminally ill
Coverage amount reduces by half at
age 70
5
Plan features (cont’d)

Premiums are determined by



your age (rates are determined by your age
bracket which calculates a higher premium for
each 5-year age band), and
your salary (as your base pay or your hours
change, your premiums modify slightly up or
down)
Your dependent life insurance premiums are
based on your age.
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Beneficiaries




You name a beneficiary for your basic and
supplemental coverage. Do NOT list a minor
child as your beneficiary as life insurance
checks cannot go to minors.
You are automatically the beneficiary for the
dependent life insurance
Primary beneficiary will receive the benefit
Secondary or contingent beneficiary will
receive the benefit ONLY if your primary
beneficiary pre-deceases you
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