Life and AD&D
 

When Coverage Ends 

This section describes the circumstances under which your Life and AD&D Insurance coverage will be terminated. 

TERMINATION OF COVERAGE
Your Basic Life Insurance, Optional Employee Term Life Insurance, and Basic and Voluntary Accidental Death and Dismemberment (AD&D) Insurance will end on the earliest of the following dates: 

  • the date that your employment with the Company ends for any reason;
  • the date that you cease to be actively at work (see "When Your Coverage Begins" in the Eligibility and Plan Participation section);
  • the date that you become part of a class of employees who are not eligible to participate in the plan;
  • unless you are on an approved leave of absence, the date on which you fail to make any required contributions towards the cost of your coverage (or the end of any applicable grace period, if later);
  • the date on which you enter active service in the armed forces of any country (does not apply to first 31 days of National Guard training);
  • the date on which you or an eligible dependent reaches the maximum age for coverage under the plan (or the end of any applicable grace period, if later); or
  • the date on which the Company terminates the plan. 

Dependent Coverage
Optional Employee Term Life Insurance and/or Voluntary AD&D Insurance for your dependents will end on the earliest of

  • the date your coverage ends for one of the reasons listed above;
  • the date that a dependent no longer meets the definition of an “eligible dependent” (see Eligibility and Plan Participation);
  • in the case of Voluntary AD&D Insurance, the date that a dependent enters active service in the armed forces of any country (does not apply to the first 31 days of National Guard training);
  • in the case of Optional Employee Term Life Insurance coverage on your spouse’s/domestic partner's life, the date a final decree of divorce is issued; or
  • in the case of Optional Employee Term Life Insurance coverage on a domestic partner’s life, the date on which he or she ceases to be a domestic partner. Notice should be provided to Human Resources within 30 days of the termination of the relationship. 

PORTABILITY OPTION
You may be eligible to continue (or “port”) your Basic and Optional Group Term Life Insurance coverage and AD&D coverage at group rates if your coverage ends. A portability rate chart is available from Human Resources. 

Eligibility Requirements
To be eligible for portability continuation, you must also meet these requirements:          

  • you were actively at work* (see "When Your Coverage Begins" in the Eligibility and Plan Participation section) on the date your insurance ended; and
  • you are under age 70; 

*or on an approved leave of absence (and your premiums were paid) 

Continuation Amount
You can continue the amount of Basic and Optional Employee Group Term Life Insurance you had as of the date that you terminated employment without having to provide evidence of insurability. You can also elect to increase this amount with the Insurance Company’s approval (this approval may require evidence of insurability). 

Maximum Continuation Amount: The maximum amount of Basic and Optional Employee Group Term Life Insurance that may be continued for you under the plan’s portability provision is the lesser of:

  • the highest amount of life insurance available under the plan;
  • 5x your annual earnings; or
  • $750,000 from all Basic and Optional Employee Group Term Life Insurance and Basic and/or Voluntary AD&D Insurance coverage, combined.

The maximum amount of Optional Employee Group Term Life Insurance that may be continued for your spouse/domestic partner under the plan's portability provision is the lesser of:

  • the highest amount of life insurance available for spouses/domestic partners under the plan;
  • 100% of your portable coverage; or
  • $750,000 from all Basic and Optional Employee Term Life Insurance and Accidental Disability and Dismemberment (AD&D) coverage, combined.

The maximum amount of Optional Employee Group Term Life Insurance that may be continued for a child under the plan's portability provision is the lesser of:

  • the highest amount of life insurance available for children under the plan;
  • 100% of your portable coverage; or
  • $20,000.  

Application Period
The application period for portability continuation is the later of: 

  • the 31-day period after your Optional Employee Group Term Life Insurance coverage ends; or
  • the eligibility period for conversion to an individual policy (see below). 

You will receive additional information about portability continuation when Human Resources is notified of your termination of employment. If you wish to continue your coverage, you may request a portability continuation application form. You should return the completed application form to the address shown on the form within the application period shown above. 

You may also elect portability continuation for your eligible dependents, provided that they were covered by Optional Employee Term Life Insurance at the time you terminated employment. You should contact the Insurance Company for additional information concerning the terms and conditions of portability continuation for your eligible dependents. 

CONVERSION PRIVILEGE
You may be eligible to convert all or a portion of your Basic and/or Optional Employee Group Term Life Insurance or a portion of your Basic and/or Voluntary AD&D Insurance* coverage to an individual policy following: 

  • your termination of employment;
  • your transfer to an employment classification that is not covered by the plan; or
  • the date on which the Company terminates the plan. 

*AD&D conversion is available only to covered persons under age 70 

Conversion Amount
You may elect to convert all or a portion of your Basic and/or Optional Employee Group Term Life Insurance coverage to an individual policy. 

You may elect to convert only that portion of your Basic and/or Voluntary AD&D Insurance that covers accidental death and dismemberment. Certain disability or other additional benefits may not be converted. 

Application Period
You and your dependents must apply for individual life insurance under this life conversion privilege and pay the first premium within 31 days* after the date:

  • your employment terminates; or
  • you or your dependents are no longer eligible to participate in the coverage of the plan.

*Participants in New Hampshire, North Dakota, Pennsylvania, South Carolina and Vermont have 15 days after notification of conversion privilege to convert coverage.

You will receive additional information about the conversion privilege when Human Resources is notified of your termination of employment. If you wish to continue your coverage, you may request a conversion privilege application form. You should return the completed application form to the address shown on the form within the application period shown above. 

You may also elect the conversion privilege for your eligible dependents, provided that they were covered by Optional Employee Group Term Life Insurance at the time you terminated employment. You should contact Human Resources for additional information concerning the terms and conditions of portability continuation for your eligible dependents. 

DEATH OR OTHER COVERED LOSS
If your death* occurs during the 31-day period following your termination of employment: 

  • The full amount of your Basic and/or Optional Employee Group Term Life Insurance will be paid to your beneficiary. If a covered dependent person dies during this 31-day period, the full amount of that person’s Optional Employee Term Life Insurance will be paid to you.
  • Your Basic and/or Voluntary AD&D Insurance will pay a benefit to you or your beneficiary, based on the amount that you were entitled to convert as of the date of your death. This applies even if you did not apply for conversion to an individual policy during the 31-day period. 

*or other covered loss under AD&D Insurance