The College provides group term life insurance coverage equivalent to one times annual salary through a policy with an established life insurance carrier. The College pays the premium for this coverage; however, the cost of the insurance (as determined by an age-based Internal Revenue Service table) for coverage amounts in excess of $50,000 is included as a taxable amount each pay period.
Supplemental group term life coverage in the amount of one-and-one-half or three times annual salary is available. Employees are responsible for the full after-tax cost of any supplemental coverage at the following monthly rates (as of January 1 of each year, per $1,000 of coverage):
Employees enrolling late for supplemental life coverage or requesting an increase to their coverage must first satisfy Evidence of Insurability with the insuring company.
The face amount available for employees age 70 and over is reduced to 65%. At age 75, the face amount available is reduced to 40%.
Total coverage is limited to $500,000. Both basic and supplemental coverage include an accidental death and dismemberment provision.
Conversion to a personal policy is available at the time of retirement or termination, at which time the full cost is assumed by the individual insured. While no Evidence of Insurability is required at time of conversion, the conversion rates are significantly higher than the active employee rates.
Contact Human Resources, x4689 with any questions.