Group Term Life Voluntary Group Term Life Insurance

Transcription

1 Group Term Life Consumer Brochure CGT101C-A-0707 Underwritten by: Transamerica Life Insurance Company Group Term Life Voluntary Group Term Life Insurance

2 Group Term Life Voluntary Group Term Life Insurance If you are eligible, Voluntary Group Term Life Insurance is available to you (the employee), your eligible spouse*, and your eligible dependent children. This insurance option provides pure life insurance protection. It is an ideal way to help provide financial protection during your working years. * Spouse or equivalent as defined by governing state law. Form Series 9G or CP and 9G or CC is underwritten by Transamerica Life Insurance Company, Home Office, Cedar Rapids, IA. Forms may vary and coverage may not be available in all jurisdictions. The features, benefits, and premiums shown in this sales literature generally apply to groups of less than 500 employees. Features and benefits described may not be available in all jurisdictions. This brochure is a brief summary of coverage refer to the Group Master Policy or Certificate for complete details.

3 Group Term Life Insurance Benefits Employee Coverage Your elected Group Term Life Insurance amount must be in $10,000 increments. The elected amount may not exceed the lesser of $150,000 or five times your annual base salary (excluding bonuses or commissions). You must participate in the plan in order for your spouse and dependent children to be eligible for coverage. Spouse Coverage If you participate in the Group Term Life Insurance plan and your spouse meets the eligibility requirements, you may elect between $5,000 and $50,000 of Life Insurance coverage in increments of $5,000. Spouse coverage may not exceed 50% of your approved coverage amount. Dependent Child Coverage You may select $5,000 or $10,000 of life insurance for your eligible dependent children. In all jurisdictions, dependent coverage may not exceed 50% of your approved coverage amount. The benefit amount applicable to each child between the ages of 15 days and six months will be limited to 10% of the selected amount. The benefit amount automatically increases to $5,000 or $10,000 after six months of age. One premium amount per month covers all of your dependent children. You must participate in order for your dependent children to be eligible for coverage. Benefit Reduction Schedule Coverage on any Insured (other than an insured dependent child) will be automatically reduced when that Insured reaches the age stated below: Age Coverage reduced to 65% of the pre-age 65 amount Age Coverage reduced to 50% of the pre-age 65 amount Age Coverage reduced to 25% of the pre-age 65 amount Age Coverage amount will be the lesser of $5,000 or the amount at age 75 Highlights and Features Waiver of Premium Rider (Rider Form Series CR or 9G ) If elected by the employer and included with your contract, this Rider waives the premium for you, your spouse, and your eligible dependent children if you (the employee) are insured and are totally disabled for at least six consecutive months. Your total disability must occur while coverage is in force and prior to age 60. During the six-month waiting period, premiums for all coverage must be paid. Limitations and exclusions apply. Refer to the contract for details. Terminal Illness Accelerated Death Benefit Option Rider (Rider Form Series CR or 9-G ) The Living Benefit for Terminal Illness is an accelerated death benefit that allows individuals to tap into life insurance proceeds early. In general, you can receive up to 50% of the applicable Voluntary Group Term Life Insurance death benefit amount in the event of an Insured s future diagnosis of a terminal illness. The maximum benefit payable under this option is $75,000. The balance of the coverage will be paid to the named beneficiary following the death of the Insured. Limitations and exclusions apply. Refer to the contract for details.

4 Highlights and Features (continued) Continuation of Coverage Option Rider (Rider Form Series CR or 9G ) If your employment terminates for any reason or an insured person becomes ineligible, you and your insured family members may be able to continue your Voluntary Group Term Life Insurance coverage on a direct payment basis at the same rates as long as the Group Master Policy remains in effect and your employer continues to be a group participant under this insurance program. If you elect this option, you will be billed on a semi-annual basis. A fee per billing will apply, and your premium cost is subject to change. You must sign an application for continuation and make the first premium payment within 31 days following the termination of your employment or eligibility. Insureds on continued coverage may apply for conversion to permanent coverage as outlined below. Conversion to Permanent* Coverage If your employment terminates for any reason or an insured person becomes ineligible, you and your insured family members may be able to convert your Voluntary Group Term Life Insurance coverage to permanent* universal life insurance. Insureds on continued coverage may apply for conversion to permanent coverage at any time, but in no event more than 31 days after the termination of the Group Master Policy or termination of your employer s participation in this group insurance program. Additional requirements and limitations will apply if your coverage terminates because the Group Master Policy terminates or your employer s participation in this insurance program ends. You must sign an application for conversion and submit payment within 31 days following the termination of your employment or eligibility, or your employer s participation in this group insurance program, in order to convert your coverage. Coverage will be billed monthly. No additional fees for direct payment will apply under this option. * In using the term permanent, it is important to note that coverage could lapse prior to the maturity date based on the planned periodic premiums, guaranteed interest rate, and guaranteed cost of insurance charges. Monthly Premium Cost The monthly premiums** for each $1,000 of coverage for employees and eligible spouses are shown below. Age Non-Smoker Smoker Under 30 $ 0.09 $ Age Non-Smoker Smoker The monthly premium for children is $.50 for each $2,500 of coverage. (For example, $5,000 coverage is $1.00 per month.) One premium amount per month covers all eligible children. ** Premiums increase as each Insured moves from one age band to another. Premiums are subject to change after one year.

5 Administrative Information Suicide Exclusion We will not pay a death benefit if an insured dies by suicide, while sane or insane, within two years of the date his/her insurance starts. If you or your spouse die by suicide, we will refund the premiums paid for your insurance (if a dependent child dies by suicide, we will refund the premiums paid for the dependent children s insurance only if you have no surviving insured dependent children). If any death benefit is increased, this suicide exclusion starts anew, but will apply only to the amount of the increase. When Insurance Stops Employee/Member: Your insurance stops at the earliest of: (1) 31 days after a premium due date, if the premiums for your insurance have not been paid; (2) the first day of the month that follows the date: (a) your employment/membership ends; or (b) your job/ membership falls into a class of jobs that is not eligible for insurance under the Group Master Policy; (3) the date the Group Master Policy is amended so that this insurance stops; (4) the date the Group Master Policy stops; (5) the date the Group Participant s participation ends; or (6) the date you ask, in writing, for it to stop. Spouse, if shown in the Certificate Schedule: Your spouse s insurance stops at the earliest of: (1) 31 days after a premium due date, if the premiums for his/her insurance have not been paid; (2) the date he/she no longer meets the definition of spouse; (3) the date your insurance stops; (4) the date the Group Master Policy is amended so that the spouse s insurance stops; (5) the date the Group Participant s participation is amended so that the spouse s insurance stops; or (6) the date you ask, in writing, for it to stop. Dependent Children, if shown in the Certificate Schedule: A dependent child s insurance stops at the earliest of: (1) 31 days after a premium due date, if the premiums for the dependent children s insurance have not been paid; (2) the date he/she no longer meets the definition of dependent child; (3) the date your insurance stops; (4) the date the Group Master Policy is amended so that the dependent children s insurance stops; (5) the date the Group Participant s participation is amended so that the dependent children s insurance stops or (6) the date you ask, in writing, for the dependent children s insurance to stop. Premium Payment Your Group Term Life Insurance premiums will be paid conveniently through payroll deduction. Beneficiary You designate your own beneficiary. Your spouse also designates his or her own beneficiary. In community property states (AZ, CA, ID, LA, NV, NM, TX, WA and WI), beneficiaries other than a spouse, require spousal consent. You, as the employee, will be the beneficiary of your children s insurance. Effective Date Your coverage will be effective on the first of the month following the date that the Insurer approves your application and payroll deduction begins.

6 How To Apply Select the amount of coverage that best meets your needs and those of your eligible family members. Calculate your premium, then complete and sign the accompanying application and its payroll deduction authorization. Be sure to complete all questions accurately. Your spouse must sign if he or she is requesting insurance coverage in excess of $25,000 or if you reside in FL,MI, PA, or SC. All applications are subject to the underwriting review and approval of Transamerica Life Insurance Company. Eligibility for Coverage If you are eligible, Voluntary Group Term Life Insurance is available to you (the employee), your eligible spouse, and your eligible dependent children. This insurance option helps provide pure life insurance protection. It is an ideal way to help provide financial protection during your working years. Employee Eligibility (1) If your employer requires that you must be continuously employed for a minimum number of days (as set forth in the Group Master Policy Schedule), you must be continuously employed for at least that number of days. (2) You must be actively performing the regular duties of your job for at least 30 hours per week in the usual manner and at the usual place of employment or business. (If you are not working due to illness or injury, you will not be eligible until you return to work). (3) You must have not been hospitalized within six months prior to the date of the application for insurance. (4) You must have not missed more than five consecutive days of work due to an accident or illness in the six months prior to the date of the application for insurance. (5) You must give Us evidence of insurability that is satisfactory to Us, if We ask for it.

7 Eligibility for Coverage (cont.) Spouse Eligibility (1) You must be legally married to the employee, as determined by the laws of the state in which you live. (2) If employed, your spouse must be actively performing the regular duties of his or her job in the usual manner and at the usual place of employment or business. (If your spouse is not working due to illness or injury, he or she will not be eligible until he or she returns to work). (3) If not employed, your spouse must be able to perform the normal activities of a person of the same age and gender (If he or she is disabled, he or she is not eligible). (4) Your spouse must have not been hospitalized within six months prior to the date of the application for insurance, or missed more than five consecutive days of work due to an accident or illness in the six months prior to the date of the application for insurance. (5) Your spouse must give Us evidence of insurability that is satisfactory to Us, if We ask for it. A spouse does not include anyone who is personally eligible as an employee. Dependent Child Eligibility A dependent child is an unmarried child who is: (1) your natural child; or (2) a legally adopted child, or a child for whom adoption proceedings have been started; or (3) a stepchild who lives with you; or (4) a child for whom you have been appointed legal guardian who lives with you. A dependent child must be: (a) at least 15 days old, through age 18 years old (through age 24, if a full-time student); and (b) depend on you for financial support. A dependent child must have not been hospitalized within six months prior to the date of application for insurance. Special provisions may apply for children who are physically or mentally challenged (May vary by state. Refer to your contract for complete details). For each dependent child, you must give Us evidence of insurability that is satisfactory to Us, if We ask for it. A dependent child does not include anyone who is personally eligible as an employee. If you and your spouse are both eligible as an employee, your dependent children may be insured as dependent children of either you or your spouse, but not both of you. This brochure highlights the features of your Voluntary Group Term Life Insurance coverage. Only the provisions, definitions, limitations, and exclusions of the Group Master Policy, Certificate, Riders, Endorsements, Application, and/or Enrollment Form, which together constitute the formal legal contract, will apply. A copy of the Group Master Policy is held by your employer and can be viewed upon request during your employer s normal business hours.

8 Voluntary Group Term Life Insurance is underwritten by: Transamerica Life Insurance Company Home Office: Cedar Rapids, IA Administrative Office: 1400 Centerview Drive Little Rock, AR (888)