CenturyLink Group Life and AD&D Insurance Plan. SUMMARY PLAN DESCRIPTION for Active Legacy Qwest Occupational Employees

Transcription

1 CenturyLink Group Life and AD&D Insurance Plan SUMMARY PLAN DESCRIPTION for Active Legacy Qwest Occupational Employees CenturyLink Inc. Effective January 1, 2013

2 Table of Contents INTRODUCTION... 1 Reserved Rights... 2 How to Use this Document... 2 What is an SPD?... 3 General SPD Information... 3 LIFE AND AD&D INSURANCE PLANS... 4 ABOUT LIFE and AD&D INSURANCE BENEFITS... 4 GENERAL PLAN and CONTACT INFORMATION... 6 Eligibility... 7 Access Your Information online... 7 Highlights and Amounts of Coverage... 7 Basic Life Insurance Coverage... 8 Basic AD&D Coverage... 8 Paralysis and Loss of Use Benefit under AD&D... 8 Seat Belt Benefit... 9 Supplemental Life and AD&D Insurance Coverage Spouse/Domestic Partner Supplemental Life Coverage Dependent Child(ren) Life Insurance ACCELERATED BENEFIT FOR BASIC AND SUPPLEMENTAL LIFE INSURANCE EVIDENCE OF INSURABILITY CHANGING COVERAGE AMOUNTS Plan Participation and Cost Your Beneficiary Assignment of Life Insurance HOW BENEFITS ARE PAID Release of Medical or Confidential Information Filing a Claim Appeal Procedures CIRCUMSTANCES THAT MAY AFFECT YOUR PLAN BENEFITS When Coverage Ends Conversion and Portability Rights Coverage during Grace Period Conversion with Plan Termination Additional Conversion Provisions (for Minnesota Residents only) Additional Services Provided by MetLife OTHER FACTS Court Orders General Administrative and Legal Notice Provisions Interpretation of Benefits Clerical Error Administrative Services January i-

3 Conformity with Statutes Refund of Overpayments Limitation of Action Time Deadline Right To Change or Terminate the Plan Statement of Employee Retirement Income Security Act of 1974 (ERISA) Rights Receive Information about Your Plan and Benefits Prudent Actions by Plan Fiduciaries Enforce Your Rights Assistance with Your Questions IMPORTANT INFORMATION ABOUT THE PLANS Statement of ERISA Rights Plan Amendments Interpretation of the Plan Plan Name and Type Plan Financing and Administration Plan Sponsor Plan Administrator and Agent for Service of Legal Process Limitation on Civil Actions Clerical Error Records And Information and Your Obligation to Furnish Information Circumstances That May Affect Your Plan Benefits Consequences of Falsification or Misrepresentation APPENDIX January ii-

4 INTRODUCTION CenturyLink Inc. (hereinafter CenturyLink or Company ) is pleased to provide you with this Summary Plan Description (hereinafter Benefit Summary or SPD ). This SPD presents an overview of the general plan provisions, rights, and responsibilities under the CenturyLink Life and AD&D Insurance Plan (the Life or AD&D Plan ). Collectively, this SPD might refer to both plans as Life Insurance Plans, Life Insurance or the Plans. This SPD must be read in conjunction with the General Information SPD which explains several other details of your coverage. The effective date of this updated SPD is January 1, This SPD summarizes Life Insurance and Accidental Death and Dismemberment ( AD&D ) survivor benefits for all active Legacy Qwest Occupational employees. If you are a Covered Person in this Plan on or after January 1, 2013, this SPD supersedes and replaces, in its entirety, any other SPD describing Life Insurance Benefits for which you may be eligible. This SPD, together with other plan documents (such as the Plan Document, the General Information SPD, the Summary of Material Modifications (SMMs) including materials you receive at Annual Enrollment) briefly describe your Benefits as well as rights and responsibilities, under the CenturyLink Group Life and AD&D Insurance Plans. This SPD supersedes and replaces, in its entirety, any other SPD, describing its provisions that you currently may possess. This SPD is intended to accurately reflect the provisions of the Group Life and AD&D insurance policies that underwrite the CenturyLink Life and AD&D Insurance Plans. Since this is only a summary of the policies, it does not cover all details found in the group policies. In the event of any discrepancy between this SPD and the official Plan Document, the group insurance policies shall govern. The Life and AD&D Plans, as described in this SPD are a part of your total compensation from CenturyLink. You are encouraged to review this information carefully, share it with your dependents, and keep it for future reference. January 1, 2013 is the date changes were most recently made to the coverages available under the Plans. Questions regarding your Life and AD&D Plans insurance benefits should be directed to the following: CenturyLink Service Center at However, you may also contact the Plan Administrator, the CenturyLink Employee Benefits Committee directly. You may contact the EBC at: CenturyLink, Inc. Human Resources 805 Broadway Vancouver, WA January

5 Reserved Rights CenturyLink reserves the right to amend, change or terminate the Plans and any of the Benefits provided under the Plans with respect to all classes of covered or eligible persons, retired or otherwise without prior notice to or consultation with any covered or eligible person, subject only to applicable laws and collective bargaining agreements or other written applicable agreements. The Plan Administrator has the right and discretion to determine all matters of fact or interpretation relative to the administration of the Plans including questions of eligibility, interpretations of the Plans provisions and any other matter. The decisions of the Plan Administrator and any other person or group to whom such discretion has been delegated, including the Claims Administrators (the Insurers), shall be conclusive and binding on all persons. More information about the Plan Administrator and the Claims Administrator can be found in the Appendix of this is SPD. With respect to the Company s Bargaining Employees who are eligible to participate in the Plans, the Plans are maintained pursuant to the applicable collective bargaining agreements. A copy of the current collective bargaining agreements is available from the Human Resource Labor Relations Department or by contacting your union directly. No Company Employee or vendors hired by CenturyLink can be responsible for advising you on the tax effects of your participation in the Plan as described in this SPD. Because tax laws are constantly changing, you should consult a tax advisor if you have questions about how participation in any Company plans will affect your personal tax situation. How to Use this Document This SPD is provided to explain how the Plans work. It describes your Benefits and rights as well as your obligations under the Plans. It is important for you to understand that because this SPD is only a summary, it cannot cover all of the details of the Plans or how the rules will apply to every person in every situation. All of the specific rules governing the Plans are contained in the official Plan Documents and underlying group insurance policies. You and your beneficiaries may examine the Plan Documents and insurance policies, other documents relating to the Plans during regular business hours or by appointment at a mutually convenient time in the office of the Plan Administrator. For additional information, refer to Your ERISA Rights. Capitalized terms are defined in the Glossary section and throughout this SPD. All uses of "we," "us," and "our" in this document, are references to the Claims Administrator or CenturyLink. References to "you" and "your" are references to people who are Covered Persons as the term is defined in the Glossary. You are encouraged to read and keep all SPDs and any attachments (summary of material modifications ( SMMs ), amendments, and addendums) for future reference. January

6 What is an SPD? This SPD is designed to provide you with a general description, in non-technical language, of the Life, and AD&D insurance benefits and coverages available under the Plans, without describing all the details set forth in all the Plan Documents. Other important details can be found in the Plan Documents. This SPD is not the Plan Document. The legal rights and obligations of any person having any interest in the Plans are determined solely by the provisions of the Plan Documents. If any of the terms of the Plan Documents are in conflict with the contents of the SPD, the Plan Documents and insurance policies will always govern. The Plan Documents and this SPD supersede any and all prior documents you may have been provided regarding your benefits under the Plans. See the General Information SPD for more information as noted below. General SPD Information The Life Insurance Benefits are offered under the Plan. Refer to the General Information SPD for general Plan information including, but not limited to, the following sections: Eligibility When Coverage Begins When Coverage Ends Questions, Complaints, How to Appeal a Claim The Plan s Right to Restitution Plan Information (e.g. Plan Sponsor and EIN, administration, contact information, Plan Number, etc.) Your ERISA Rights Glossary of Defined Terms January

7 LIFE AND AD&D INSURANCE PLANS The CenturyLink Life and AD&D Insurance Plans provide a wide range of coverage in the event of death or certain other serious physical losses. The Basic Life Insurance Benefit under the Life Plan pays benefits in the form of a lump sum payment to your beneficiary(ies) if you die while covered. The Supplemental Life Insurance Benefit allows you to buy additional coverage under the Life Plan for yourself and, if you want, coverage for your spouse or domestic partner (subject to statutory guidelines where you live) and eligible children. The Basic Accidental Death and Dismemberment (AD&D) Benefit under the AD&D Plan pays benefits if you die as a result of a covered accident or have another covered physical loss due to a covered accident. The Supplemental Accidental Death and Dismemberment Benefit under the AD&D Plan allows you to buy additional AD&D coverage for yourself (subject to statutory guidelines where you live). For assistance in understanding terminology associated with the administration of your benefit plans, please refer to the Glossary. ABOUT LIFE and AD&D INSURANCE BENEFITS CenturyLink maintains the Plan to provide Benefits to Active Legacy Qwest Occupational participants. This SPD is only for Active Employees. (Note: All Retiree groups should refer to their specific retiree Life Insurance SPDs). If you are a covered member under the Plans, your rights and Benefits are determined by the provisions of the Plans and its related Group Life and AD&D Insurance Policies and this SPD. The Plans and this SPD outline what you must do to be covered and explains how to file claims. This SPD is your certificate while you are eligible to be insured. Therefore, there are no individual policies issued. The CenturyLink Group Life and AD&D Insurance Plans provide eligible active participants with the following Group Life and AD&D Insurance programs: Basic Life Insurance Basic AD&D Insurance Supplemental Life Insurance Supplemental AD&D Insurance Spouse/Domestic Partner Life Insurance Dependent Child(ren) Life Insurance January

8 The Plans provide eligible Employees with Basic Life and Basic AD&D insurance coverage paid by CenturyLink in addition to the opportunity for you to purchase additional Supplemental Life/AD&D, Spouse/Domestic Partner Life, and Dependent Child(ren) Life Insurance coverages. As your employment status changes, you will have limited rights to continue some of these coverages. Note: At retirement, you have limited rights to continue your Basic and Supplemental Life Insurance coverage. Any Dependent Life Insurance and Accidental Death and Dismemberment Insurance coverage (AD&D) ceases upon your retirement. This Insurance is covered under Group Contracts (the policies ) underwritten by Metropolitan Life Insurance Company ( MetLife ) for the Group Life Insurance and Zurich American Insurance Company ( Zurich ) for the Group Accidental Death & Dismemberment ( AD&D ) which provides insured Benefits under the Plans. Therefore, there are no individual policies issued. For all purposes of these policies, CenturyLink acts on its own behalf or as an agent of its Employees. Under no circumstances will CenturyLink be deemed the agent of MetLife or Zurich, absent a written authorization of such status executed between CenturyLink and MetLife and CenturyLink and Zurich Nothing in these documents shall, of themselves, be deemed to be such written execution. MetLife and Zurich, as Claims Administrators have the sole discretion to interpret the terms of the policies, to make factual findings, and to determine eligibility for benefits. The decision of the Claims Administrators shall not be overturned unless arbitrary and capricious. January

9 GENERAL PLAN and CONTACT INFORMATION Name of Plan: CenturyLink Group Life and AD&D Insurance Plans Type of Benefits: Life and AD&D Insurance are welfare benefits Plan Number: 501 Employer Identification Number: Plan Year: January 1 through December 31 Plan Administrator: The CenturyLink Employee Benefits Committee c/o CenturyLink, Inc. Human Resources 805 Broadway, 8th Floor Vancouver, WA Send Claims/Appeals to: For Life Insurance: Metropolitan Life Insurance Company MetLife Group Life Claims Post Office Box 6100 Scranton, PA For AD&D Insurance: Zurich American Insurance Company P. O. Box Schaumburg, IL Plan Insurers: Agent for Service of Process for the Plan: Plan Benefits Provided by: Attn: ERISA Appeal Committee [FOR APPEALS ONLY] Specialties Division A&H Special Risk Claims Metropolitan Life Insurance Company ( MetLife ) (Life Insurance) 200 Park Avenue New York, New York Zurich American Insurance Company (AD&D Insurance) Post Office Box 9102 Plainview, New York CenturyLink, Inc. c/o Human Resources 805 Broadway, 8th Floor Vancouver, WA Metropolitan Life Insurance Company (Life Insurance) Zurich American Insurance Company (AD&D Insurance) January

10 Eligibility Generally, you are eligible for all Life and AD&D Insurance Benefits on the 31st day following your hire date if you are an active regular Employee as defined by your payroll status. (The Life Insurance Plan s eligibility typically follows the CenturyLink Health Care Plan s eligibility, including Dependent eligibility for your Spouse/Domestic Partner and Child(ren)--refer to the General Information SPD for more detailed information regarding eligibility classifications, effective dates and definitions). Also, see the Participation and Cost section for details on when coverage starts and the affect on participation in the Plan if your payroll status changes. Access Your Information online You can access and change certain personalized information concerning your CenturyLink Group Life Insurance Plan coverage through the CenturyLink Health and Life Benefits website at or contact the CenturyLink Service Center at for questions or to elect coverage changes. Highlights and Amounts of Coverage The following section is an overview of Basic Life and AD&D Insurance, Supplemental Life and AD&D Insurance, Spouse Life and Child Life Insurance Benefits and the amount of coverage you can elect. Annual Pay Basic Annual Earnings means Your annual base rate of pay plus annualized commissions, if a sales-related Employee; Basic Annual Earnings can also include certain bonuses, commissions, special payments and merit awards, but excludes other compensation such as differentials, overtime and special allowances as determined by the Policyholder. Basic Annual Earnings are calculated as of a certain date in the 3rd quarter of the prior year (typically September 1) and then rounded to the next higher $1,000 increment unless already a multiple thereof. For New Hires Basic Annual earnings salary is as of date of hire for remainder of the year. January

11 Basic Life Insurance Coverage While you are an active Employee, the Company provides Basic Life Insurance coverage equal to 1 times your Annual Pay as described above. This amount does not change during the year, even if your salary or commissions change. (Example: For a non-sales person whose base rate is $44,200, the Basic Life Insurance amount would be $45,000.) Beginning with the first day of the year following your 66th birthday, your coverage will be reduced by 10%. Your coverage amount will be reduced each following year, up to a total reduction of 50% by age 70. Note: Your Basic Life coverage will cease upon termination of employment (see the Conversion Rights section for additional information). Upon retirement, your Retiree Basic Life coverage amount provided by the Company reduces to $10,000 effective the first of the month following your retirement date. Basic AD&D Coverage The Company also automatically provides AD&D coverage in an amount equal to your Basic Life coverage amount, subject to the exclusions listed under the How Benefits Are Paid section, if you die as a result of and within 365 days of a covered accident, whether it occurs on or off the job. Basic AD&D also pays certain amounts for Injury and Dismemberment as outlined below. AD&D coverage decreases beginning on the first day of the plan year following your 66th birthday, the same as the Basic Life Insurance coverage as noted above. Paralysis and Loss of Use Benefit under AD&D If you sustain an Injury, and as a result of such Injury, one or more of the covered losses listed below are incurred, the insurance carrier will pay the following percentages of your scheduled AD&D Benefit (or approved amount, if applicable) in force, provided all benefit qualifications are met. Covered Loss... % of Scheduled Benefit Quadriplegia % Both Hands or Both Feet % Sight of Both Eyes % One Hand and One Foot % One Hand and Sight of One Eye % One Foot and Sight of One Eye % Speech and Hearing % Paraplegia % One Hand or One Foot... 50% January

12 Sight of One Eye... 50% Speech... 50% Hearing... 50% Hemiplegia... 50% Uniplegia. 50% Thumb and Index Finger of the Same Hand % Plegia must be determined by Zurich s competent medical authority to be permanent, complete and irreversible paralysis of one or more limbs. A limb means an arm or a leg. Proof of total paralysis may be required by Zurich on a periodic basis. Benefits are not payable for paralysis caused by a stroke. Quadriplegia This means total paralysis of all four limbs. Paraplegia This means total paralysis of both lower limbs. Hemiplegia This means paralysis of upper and lower limbs on one side of the body. Loss of Hand or Foot This means severance through or above the wrist or ankle joint. Loss of Sight This means total and permanent loss of sight in the eye. Loss of Speech This means total and permanent loss of speech. Loss of Hearing This means total and permanent loss of hearing. Seat Belt Benefit An additional benefit, which equals 10% of your principal sum up to a maximum of $10,000 for Basic AD&D provided the insured employee was operating or riding as a passenger in any private automobile designed for use primarily on public roads and wearing an original, equipped, factory installed or manufacturer authorized and unaltered seat belt, or lap and shoulder restraint at the time of the injury. Zurich will not pay a Seat Belt Benefit if the driver of the automobile in which the insured employee was riding was either: 1. under the influence of alcohol; a. A driver will be conclusively presumed to be under the influence of alcohol if the level of alcohol in his or her blood exceeds the amount at which a person is presumed, under the law of the locale in which the accident occurred, to be under the influence of alcohol or intoxicating liquor if operating a motor vehicle. b. An autopsy report from a licensed medical examiner, law enforcement officer reports, or similar items will be considered proof of the driver s intoxication. Or, 2. under the influence of any prescription drug, narcotic, or hallucinogen, unless such prescription drug, narcotic, or hallucinogen was prescribed by a physician and taken in accordance with the prescribed dosage. January

13 Verification of the insured employee s use of the seat belt or lap and shoulder restraints is required as follows: 1. in the official law enforcement report of the accident, through certification by the investigating officers; or 2. by other reasonable proof, acceptable to Zurich. Note: AD&D coverage ends upon retirement and at termination of active employment, regardless of age. Reference the Conversion and Portability Rights section below. Supplemental Life and AD&D Insurance Coverage You pay monthly premiums to obtain and continue this additional coverage. Supplemental Life Insurance can provide coverage equal to 1-8 times your Basic Life Insurance amount. The Maximum Supplemental Life and AD&D benefit is $3,000,000. This coverage election may require Evidence of Insurability. (See the Evidence of Insurability and Changing Coverage Amounts sections for additional details.) You automatically receive a Supplemental AD&D coverage amount equal to the amount you are insured for under the Supplemental Life coverage, and the AD&D Benefit provisions are the same as the Basic AD&D coverage (see above). The cost of the Supplemental AD&D coverage is in addition to the cost of your Supplemental Life Insurance premium. You may continue Supplemental Life/AD&D coverage for as long as you are an active Employee and paying the premiums, but it will be reduced on the first day of the year following your 66th birthday. Coverage reduction for Supplemental Life/AD&D coverage is the same schedule as the Basic Life/AD&D Insurance reduction, up to a total reduction of 50% by age 70. Supplemental AD&D is not available for your dependent spouse/domestic partner or dependent children. Note: Your Supplemental Life/AD&D coverage will cease upon termination of employment (see the Conversion and Portability Rights section for additional information). Upon retirement, if you have Supplemental Life coverage, you may have the opportunity to continue the coverage up to age 70 by timely paying the applicable premium and according to the Plan provisions. You cannot purchase Supplemental Life coverage after you retire. January

14 Spouse/Domestic Partner Supplemental Life Coverage You may select the following amounts of coverage for your eligible Spouse/Domestic Partner s Supplemental Life Insurance. This coverage election may require Evidence of Insurability. (See the Evidence of Insurability and Changing Coverage Amounts sections for additional details.) $5,000 $10,000 $25,000 $50,000 $75, 000 $100,000 Dependent Child(ren) Life Insurance You may select the following amounts for your Dependent Child(ren) s Life Insurance. These amounts do not require Evidence of Insurability: $3,000 $5,000 $10,000 If you enroll in Dependent Child(ren) Life coverage, you can insure all of your eligible Child(ren) with one premium rate. However, to ensure eligibility for coverage, names of all covered Children must be listed on the health and life benefit website and appear on your Confirmation Statement produced by the CenturyLink Service Center. Please update this information via the CenturyLink Benefits website at and always check any Confirmation Statements you may receive. Note: Spouse/Domestic Partner and Dependent Child(ren) Supplemental Life coverages cease at the end of the month in which you terminate or retire (see the Conversion and Portability Rights section below.) ACCELERATED BENEFIT FOR BASIC AND SUPPLEMENTAL LIFE INSURANCE An Accelerated Benefit is an advance (before death) payment of a part of your Life Insurance Benefit. To qualify, you must be insured for an insurance Benefit of at least $10,000 and be diagnosed as terminally ill (expected to die within 24 months) and provide proof of such terminal illness to the insurance carrier, MetLife. Proof of terminal illness will consist of a statement from your Physician and any other medical information the insurance carrier requests. There will only be one Accelerated Benefit payable during your lifetime. If you have assigned your Life Insurance Benefits, you are not eligible for an Accelerated Benefit. January

15 You may be eligible to receive 90% of up to $500,000 of your combined Basic and Supplemental Life Insurance (minimum payment request of $10,000). However, the Accelerated Benefit proceeds may be reduced if, within 24 months after the date the insurance carrier receives such proof, a reduction due to age would have applied to the amount of your Employee Basic and Supplemental Life Insurance. In that case, the amount of the Accelerated Benefit proceeds may not exceed the amount of such Insurance after applying the reduction. If you elect this option, the insurance carrier will pay the insurance proceeds you place under this option in one lump sum or in 24 equal monthly installments. The payment(s) will be due when the insurance company receives proof that you are terminally ill. If you elect monthly installments and you die before all payments have been made, the insurance carrier will pay your beneficiary(ies) in one lump sum. That sum will be the total of the payments that remain. Your right to be paid under this option is subject to these terms: You must choose this option in writing in a form that satisfies the insurance carrier. You must furnish proof that satisfies the insurance carrier that your life expectancy is 24 months or less, including certification by a doctor. Your Life Insurance must not be assigned. Accelerated Benefit proceeds will be made available to you on a voluntary basis only. Therefore: If you are required by law to use this option to meet the claims of creditors, whether in bankruptcy or otherwise, you are not eligible for this benefit. If you are required by a government agency to use this option in order to apply for, get, or keep a government benefit or entitlement, you are not eligible for this benefit. This benefit is in lieu of the benefits that would have been paid on your death with respect to the accelerated benefit proceeds. When you elect this option, the total amount of Employee Life Insurance otherwise payable on your death, including any amount under an extended death benefit, will be reduced by the Accelerated Benefit proceeds. Also, any amount you could otherwise have converted to an individual policy will be reduced by the Accelerated Benefit proceeds. EVIDENCE OF INSURABILITY The insurance carrier may require you to complete proof of good health/evidence of Insurability (EOI) depending on the level of additional coverage you elect during and after your initial enrollment period as a newly eligible Employee for you and your Spouse or Domestic Partner. The necessary forms will be provided and must be completed and returned to the insurance company within 30 days. Note: You will be assigned a lower level of coverage, appropriate with your election, until your EOI is approved. The insurance company will review the EOI application. Additional information may be required, such as medical examinations, Attending Physician s Statements (medical records), blood/urine tests and, sometimes, additional tests, e.g., an EKG. All applicants are informed of the decision on their application via a personal letter directly from the insurance carrier. The specific medical reasons for any rejection are kept confidential and provided to the applicant only. January

16 Medical exams, tests and medical records are at no expense to the applicant for timely entrants during the initial enrollment period and with a Qualifying Life Event (QLE). For all other increases (late entrants), including annual enrollments, fees or charges associated with any required physical examinations, tests, and medical records will be at the applicant s expense. Newly Hired Employees. During your 31-day initial enrollment period as a newly hired Employee, you can elect Supplemental Life/AD&D, and Spouse/Domestic Partner Supplemental Life without EOI up to the following amounts: Employee Supplemental Life/AD&D 2 times Basic Life Spouse/Domestic Partner Supplemental Life $25,000 Any elected amounts of coverage over these limits for Supplemental Life and Spouse or Domestic Partner Life will require EOI as described above. EOI is never required on Dependent Children. Amounts over $10,000 for Dependent Children are not available. CHANGING COVERAGE AMOUNTS To apply for Supplemental Life/AD&D, Spouse/Domestic Partner Supplemental Life, or Dependent Child(ren) Supplemental Life Insurance or to increase your elected coverage amount(s) you must: Be Actively at Work (Refer to the When Coverage Starts section). If you are not actively at work on the date insurance will otherwise take effect, insurance will take effect on the date you resume active work. Provide the life insurance carrier with acceptable EOI, when applicable On the date Dependent insurance is scheduled to take effect, the Dependent must not be: Confined at home under a Physician s Care; Receiving or applying to receive disability benefits from any source; or Hospitalized. If the Dependent does not meet this requirement on such date, insurance for the Dependent will take effect on the date that Dependent is no longer: Confined; Receiving or applying to receive disability benefits from any source; or Hospitalized. January

17 Increasing Coverage when EOI is Required Once you are enrolled in the Plan or after the first 31 days of eligibility, you can elect to change your Supplemental/AD&D or your Dependent s Life coverage at Annual Enrollment or anytime during the year by providing EOI. EOI is also required when you elect coverage amounts over certain limits when increasing your coverage due to a Qualified Life Event (QLE), such as marriage, birth or adoption, as outlined below. Increasing Coverage when EOI is Not Required When you experience a QLE for marriage, birth or adoption at any time during the year, you can elect the following increases in coverage without EOI for you and your Dependents as listed below: You. You may increase your Supplemental Life Insurance by one times coverage (maximum is 8 times coverage) without EOI at the time of a Qualified Life Event (QLE) if you are actively at work and enroll for coverage within 45 days of the QLE. When you enroll timely, the effective date of this coverage is from the date of the event. Note: EOI is required on amounts of coverage elected over the 1 times increase in coverage at time of the QLE or to add any amount of coverage at a later date outside of the 45 day enrollment period. The additional increased coverage amount (or late enrollment) is effective the first of the month following the EOI approval. Spouse. A Spouse may be added as a Dependent if you are actively at work and you enroll him or her within 45 days of the legal marriage or the date that the common law marriage is legally recognized (if recognized by law in the state in which you reside) up to $25,000 without EOI at the time of a QLE. When you enroll your Spouse timely, the effective date of this coverage is the date of the event. Your Spouse s coverage may also be increased by 1 level of coverage when you are adding a Child (see below). Note: EOI is required on amounts of coverage elected over the $25,000 at the time of the QLE or to add any amount of coverage at a later date outside of the 45 day enrollment period. The additional increased coverage amount (or late enrollment) will be effective the first of the month following the EOI approval. January

18 Domestic Partner. A Domestic Partner may be added as a Dependent if you are actively at work and you enroll him or her within 45 days of the date in which the domestic partnership is recognized up to $25,000 without EOI at the time of the QLE. When enrolled timely, the effective date of this coverage is the first of the month following the day you make your election and provide a Company-approved domestic partnership affidavit. Your Domestic Partner s coverage may also be increased by 1 level of coverage when adding a Child (see below). Note: EOI is required on amounts of coverage elected over the $25,000 at the time of the QLE or to add any amount of coverage at a later date outside of the 45 day enrollment period. The additional increased coverage amount (or late enrollment) will be effective the first of the month following the EOI approval. Child(ren). You can add a Child or Children at Annual Enrollment or anytime during the year if you are actively at work for any level of coverage without EOI. However, if you did not previously have eligible Dependent(s) when you acquire a newborn or adopted Child, then you may add Dependent Child(ren) Life coverage at the time the newborn or adopted Child is acquired, even if you are not actively at work, (provided the mother is the Employee or the father is on an approved child care leave of absence). The effective date of coverage is retroactive to the date of birth or date Child was first eligible, as long as notification is provided within 45 days of the QLE. Otherwise, coverage is effective the first of the month following the day you make your election. You and your Spouse s coverage may also be increased when adding a Child (see below). Husband, Wife, and Domestic Partner Employees. Please note that if both husband, wife, or Domestic Partner is employed by the Company, each may elect coverage for their Child(ren) under Dependent Child(ren) Life. You and Spouse s Coverage When Adding a Child. You may increase your Supplemental Life or your Spouse s Life Insurance by one level of coverage without EOI if you are actively at work and enroll for coverage within 45 days of a birth or adoption of a Child. When enrolled timely, the effective date of this coverage is the date of the event. Note: EOI is required on amounts of coverage elected over the 1 level increase in coverage at the time of the QLE or to add any amount of coverage at a later date outside of the 45 day enrollment period. The additional increased coverage amount (or late enrollment) is effective the first of the month following the EOI approval. Decreasing or Dropping Life Insurance Coverage You may decrease/drop your Supplemental Life/AD&D Insurance, Spouse/Domestic Partner Life Insurance, and Dependent Child(ren) Life Insurance during Annual Enrollment or at any time during the year, whenever applicable. The effective date of the change will be the first of the month following the day you make your election or January 1 if dropped during Annual Enrollment. Note: It is important that you drop your Dependents when they become ineligible since they will not be covered under the Plan and are not eligible for coverage in the event of a death, even if you have continued to pay premiums. Premiums will not be refunded because you failed to notify the Plan timely. January

19 How to Add or Remove Coverage for a Dependent To enroll or disenroll a Spouse, Domestic Partner or Child Dependent you need to call the CenturyLink Health and Life Service Center at Note: Adding your Spouse, Domestic Partner, or Child(ren) to your health care coverage does not automatically add them to Spouse/Domestic Partner or Dependent Child(ren) Life Insurance. Plan Participation and Cost The Company pays for your Basic Life and AD&D Insurance coverage; you pay for the cost of Supplemental Life/AD&D and Dependent Life Insurance coverage, if any. Once you are covered by the Plan, your participation is effective and continues as follows: When Coverage Starts and Ongoing Participation Initial Enrollment Basic Life/AD&D coverage (and Supplemental/AD&D and Dependent Life Insurance, if elected within your initial enrollment period) and the Supplemental Life election if it is within the guaranteed issue limit, is effective on the 31 st day following your date of hire if actively at work. Coverage remains in affect from year to year unless you change it. Amounts of Coverage and Supplemental Life/AD&D and Dependent Life premiums, if any, adjust automatically according to any changes in Annual Pay, age-band changes according to Plan provisions. Actively At Work. This refers to an Employee s regularly scheduled attendance at the Company s place of business and the Employee s physical ability to perform all assigned duties. Actively at work includes an Employee s temporary absence from work due to vacation or jury duty. For purposes of making election changes and Portability Rights, an Employee is not considered actively at work when on an approved leave of absence or entitled to receive benefits from the Company s Short-Term Disability Plan or Long-Term Disability Plan whether or not the Employee is receiving pay or benefits during those times from such plans. Annual Enrollment or Anytime During the Year You may add or increase your Supplemental Life/AD&D, Spouse/Domestic Partner Supplemental Life, and Dependent Child(ren) Supplemental Life coverages (if applicable) during Annual Enrollment or anytime during the year without a QLE, at which time proof of good health/eoi may be required. Coverage is effective the first of the month after EOI is approved or coincident with Annual Enrollment if EOI is approved prior to January 1. January

20 Qualified Life Event (QLE) You may add or increase your Supplemental Life/AD&D, Spouse/Domestic Partner Supplemental Life, and Dependent Child(ren) Supplemental Life coverages (if applicable) consistent with a QLE up to certain limits without EOI, or with EOI if additional amounts are requested. The limited coverage is effective on the event date (marriage, birth or adoption), if elected within 45 days of the event. If additional coverage is elected (or your election is not timely) then the coverage is effective the first of the month following the EOI approval. Coverage During Disability or Leave of Absence You may continue your coverage during Short-Term Disability (STD) or certain Leave of Absences (LOA) according to Plan provisions as long as the Company retains you on the payroll. If applicable and you continue your Supplemental/AD&D or Dependent coverages, you must also continue to pay premiums timely to avoid cancellation. Maximum Coverage Available While Long-Term Disability Benefits Are Payable If Term of Employment Is: Basic and Supplemental Life and Dependent Life Coverage Continues For: Under 5 Years Basic and Supplemental Life Insurance: Company-paid coverage will continue for up to 1 year. Dependent Life Insurance: At your expense, you may elect to continue your coverage for up to 1 year. 5 but under 10 Years Basic and Supplemental Life Insurance: Company-paid coverage will continue for up to 2 years. Dependent Life Insurance: At your expense, you may elect to continue your coverage for up to 2 years. 10 but under 15 Years Basic and Supplemental Life Insurance: Company-paid coverage will continue for up to 3 years. Dependent Life Insurance: At your expense, you may elect to continue your coverage for up to 3 years. 15 or more Years Coverage continues in accordance with disability or service pension provisions under the CenturyLink Pension Plan. If you no longer qualify for the LTD benefits prior to reaching maximum coverage as listed above, your Basic, Supplemental, and Dependent Life coverages terminate at the end of the month in which your Long-Term Disability benefits cease. The Start Date for continuation of coverage is the 1 st day you were approved for STD Benefits. If you subsequently return to work after the STD or LOA expires and did not continue your coverages as stated above, you will be required to provide EOI when enrolling for Supplemental Life coverage, but your Dependent Child Supplemental Life coverage can be reinstated the first of the month after you return to work, upon request. January

21 If you do not return to work after your LOA or STD and are eligible for retiree Benefits from the Company under a service or disability pension you have limited rights to continue your life insurance benefits. (Please refer to the Post-1990 Retiree Life SPD for more information.) If you do not continue your Supplemental Life/AD&D, Spouse/Domestic Partner Supplemental Life, or Dependent Child(ren) Supplemental Life coverages (or it is cancelled due to late or nonpayment) during a period of eligible STD or LOA and you subsequently become eligible to receive Long-Term Disability benefits from the Company or retire, you will not be eligible to enroll or re-enroll for those coverages. If you are not eligible for life insurance benefits after you leave the payroll, your coverage under this Plan will usually end as described in the When Coverage Ends section. Military Leave CenturyLink is temporarily allowing Employees who are called upon for active duty status or inducted into active Military Service to continue receiving Basic Life Insurance (company paid) for the first 12 months of cumulative Military Leave. This temporary change for Basic Life does not apply to Employees who take Military Leave for active duty for training, initial active duty training, or inactive duty training. Supplemental and Dependent Life Insurance can be continued if timely paying the premiums. Re-hired Employee If you terminate your employment and are subsequently rehired, you will be treated as a new hire with respect to Life Insurance coverage. (Note: If you are rehired within the same calendar month you were terminated, coverage will not be interrupted.) Re-hired Retiree If you are a re-hired Retiree that continued Supplemental Life Insurance during retirement, you can carry this same multiple of coverage back to active status without EOI. (Note: The coverage amount is subject to change, but the level may remain the same. For example, if you initially retire with 3 times annual pay of $60,000, but re-hire with Annual Pay of only $50,000, your new coverage is 3 times $50,000.) When you subsequently retire again, you retire with the coverage you have at the time of the new retirement date. Dual Retiree In the event you are a retiree from a legacy CenturyLink company, for example, if you initially retired from legacy Qwest as a bargained employee, then were rehired and re-retired again under the same plan or from another legacy CenturyLink company, please refer to Your Retiree SPDs or Departing Employee Guide for those legacy companies for further information. Coverage Costs and Funding All Benefits under this Plan are insured through MetLife (for Group Basic and Supplemental Life) and Zurich (for Group Basic and Supplemental AD&D) Insurance policies purchased with premiums paid using Plan contributions provided by Company for Basic Life/AD&D Insurance and with respect to Employee Supplemental Life and AD&D, Spouse/Domestic Partner and Dependent Child Supplemental Life Insurance coverage, premiums paid by you. January

22 Supplemental Life and AD&D and Dependent Supplemental Life Insurance premiums. If you enroll for Employee Supplemental Life and AD&D, Spouse/Domestic Partner Supplemental Life, or Dependent Child(ren) Group Supplemental Life coverage, you pay monthly premium contributions which are either deducted from your payroll check or billed to you directly when on LOA. Your Supplemental Life and your Spouse Supplemental Life Insurance cost is based on each person s age and amount of coverage; therefore, your premium amount is subject to change. If your (or your Spouse s) age bracket changes, the Supplemental Life Insurance premium will increase effective the first of the year after your (or your Spouse s) birthday occurs. Your Dependent Child(ren) Group Supplemental Life Insurance cost is a flat monthly premium that pays for the elected coverage of your Child(ren), regardless of the number of Dependents insured. If you are on an unpaid leave of absence, you will be billed directly. Note: Make sure all of your Dependent Children are enrolled for this coverage. Additionally, Life Insurance rates may change due to Company funding arrangements or upon policy renewal with the Plan Insurer. You may call the CenturyLink Service Center at to check the current Supplemental Life and AD&D Insurance rates. Authorization. If you enroll in the Supplemental, Spouse/Domestic Partner, or Dependent Child(ren) Group Supplemental Life coverage, you are authorizing the Company to deduct your premium contributions from your paycheck on an after-tax basis. Your Beneficiary Your beneficiary is the person you choose to receive survivor benefits in the event of your death. You may name any person(s), your estate, almost any organization or a trust as the beneficiary(ies) under your CenturyLink Life and AD&D Insurance Plans (the Life Plan ). You may name one beneficiary or divide the benefit among multiple beneficiaries. If you name multiple beneficiaries, you must specify the percentage each beneficiary will receive. You also may name different beneficiary(ies) for each Plan. It is important to specify your beneficiary(ies) designation clearly when you enroll. In the event that a beneficiary is named for one coverage but not the others, the named beneficiary will apply to all coverages. If you enroll your spouse or domestic partner and your dependent child(ren) in any of the Supplemental Life and AD&D plans, you are automatically the beneficiary for their coverage. If you and your spouse, domestic partner and/or child(ren) die at the same time, the beneficiary is the person(s) that you designate on your Life Insurance Beneficiary form. January

23 If no beneficiary is alive on the date of your death or you have not elected a beneficiary, the benefit will be paid as follows: 1. to your spouse or domestic partner, if living; or 2. if there is no surviving spouse or domestic partner, to your surviving child(ren) in equal shares; or 3. if there is no surviving spouse or domestic partner or child(ren), to your surviving parents in equal shares; or 4. if there is no surviving spouse or domestic partner, child(ren) or parents, to your surviving brothers and sisters in equal shares; or 5. if there is no surviving spouse or domestic partner, child(ren), parents, brothers or sisters, to your surviving grandparents in equal shares; or 6. if none of the above, to your estate. Please confirm that you have designated beneficiaries for all of your Life Insurance Plans by going to or calling the CenturyLink Service Center at CenturyLink Service Center is the recordkeeper of beneficiary designations. If there is no beneficiary designation on file upon your death, any eligible amount will be payable according to the plan rules and may not be whom you intended to receive the benefit. In addition, naming a beneficiary and having all the information on file may expedite the claim processing. Important Note About Naming Minor Children: If you name your minor child(ren) as beneficiary(ies), please be advised that the Plan will be unable to pay benefits to them until the earlier of: 1. The date your child(ren) reach the age of majority (usually age 18 or 21), depending on applicable state; or 2. The date a legal guardian of the minors estate has been appointed by a court. This can be a costly process, and state laws may limit who may be named as guardian of an estate. Spouse/Domestic Partner and Dependent Child(ren) Group Life Coverage If you enroll in Spouse/Domestic Partner Supplemental Life or Dependent Child(ren) Supplemental Life coverage, you are automatically the beneficiary. However, if you do not survive the Dependent, the benefit for Spouse/Domestic Partner Supplemental Life or Dependent Child(ren) Supplemental Life Insurance will be paid to your Dependent s estate. Assignment of Life Insurance You may make an absolute and irrevocable assignment of your Group Life Insurance coverages. This means that you may name someone else to have ownership rights to your Group Life Insurance coverage even though it is your life that is insured. Note: Dependent Supplemental Life Insurance cannot be assigned. If you make an assignment, it cannot later be revoked by you. The person to whom you assign your insurance has the absolute and continuing right to name beneficiaries or to exercise any other privileges which would have been otherwise available to you, including changes in the coverage levels etc., which could affect your premium contribution amount. January

24 Because of the various legal and tax implications involved, we suggest you consult both a lawyer and tax advisor before taking any such action. If you wish to make an absolute and irrevocable assignment, you can get the appropriate forms from the CenturyLink Service Center by calling Please note: If you assign your Benefit to an individual and that person predeceases you, you run the risk of the assignment not being released back to you. HOW BENEFITS ARE PAID Special rules govern how Benefits are paid for Life and AD&D insurance. Your Basic Life and AD&D Insurance coverage amounts and any Supplemental Life and AD&D Insurance coverage amounts you may be covered for are payable to your named beneficiary or beneficiaries in the event of your death from any cause. Basic and Supplemental AD&D Insurances If you suffer a loss of life as a result of a Covered Injury within 365 days of the Covered Injury, Zurich will pay the applicable benefits. This is, of course, subject to the general exclusions and limitations of the governing policy. The beneficiary or beneficiaries who receive your Basic Life Insurance proceeds will receive 100% of your AD&D Insurance. This AD&D payment is in addition to your Basic and Supplemental Life coverages. (Note: Enrolling in Supplemental Life coverage is the only way to receive Supplemental AD&D coverage). If as a result and within 365 days of a Covered Injury you lose sight or limb, you will receive all or part of your AD&D Benefits, depending on the extent of your loss as described in the Highlights and Coverage Amounts section. AD&D Insurance is payable whether the accident occurs on or off the job. However, these benefits are not payable for any loss to which a contributing cause is one of the following: Suicide or any attempt at suicide or intentionally self-inflicted injury or any attempt at intentionally self-inflicted injury Illness or disease, regardless of how contracted; medical or surgical treatment of illness or disease; or complications following the surgical treatment of illness or disease; except for Accidental ingestion of contaminated foods War, or any act of war whether declared or undeclared Involvement in any type of active military service Participation in the commission or attempted commission of any felony or an assault;. Being intoxicated: An insured employee will be conclusively presumed to be intoxicated if the level of alcohol in his or her blood exceeds the amount at which a person is presumed, under the law of the locale in which the accident occurred, to be intoxicated, if operating a motor vehicle. January