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HomeMy WebLinkAboutSupplementalSpecial Offer Exclusively for Employees of Iowa City Make Your Loved Ones Top Priority Today Supplemental Life Insurance This brochure is not the insurance contract. It is a brief description of the group policy issued to City of Iowa City. What Age Should You Think About Buying Additional Life Insurance? Most people know that those with a family and/ or a mortgage need Life Insurance. However, many believe that unmarried young people who neither have dependents nor a mortgage do not need Life Insurance. The reality is that when people die young, the surviving family may be unprepared for the shock. A Life Insurance policy may ease tension during that time by helping with unexpected expenses such as funeral fees, debts or medical bills not covered by insurance. Are There Any Medical Questions or Tests Needed to Qualify for the Plan? You will need to fill out a Medical Questionnaire (Evidence of Insurability Form) ONLY if any of the following applies to you (Please note that coverage may be declined based upon your answers to the medical questions): • if you fail to enroll within 31 days of your hire date, • if you choose more than $100,000 of coverage for yourself, • if you choose more than $30,000 of coverage for your spouse. What is Supplemental Life Insurance? Supplemental Life Insurance allows you to choose additional Life Insurance coverage at the group rates. This coverage is paid through convenient deductions from your paycheck. The best part is receiving the group rates. Can You Afford Extra Coverage? Because your employer is large, you are able to take advantage of affordable group rates, rather than relying upon individual insurance which may be more expensive. Your employer is looking out for you and your family. They have made the decision to offer this Supplemental Life Insurance coverage so that you can protect your loved ones at a reasonable cost. How Much Life Insurance Coverage Do You Need? According to the American Council of Life Insurers’ (ACLI) 2008 consumer brochure, “What You Should Know About Buying Life Insurance”, some experts suggest your policy “...should pay a benefit equal to 7-10 times your annual income.” To evaluate your personal needs, consider whether or not your loved ones would need to pay for any of the expenses shown on the back side of this sheet, plus other personal expenses. Once you add it all up, would your basic group policy provide enough? To evaluate your needs online, use the simple Life Insurance calculator at lifehappens.org. (over) Single person with no dependents: • Funeral expenses • Medical bills • Elderly parents you may support • Debts (credit cards, student loans) Single person with dependents: • Funeral expenses • Medical bills • Debts (car, mortgage) • Childcare/Caretaker fees • Health Insurance payment • Elderly parents you may support • Education costs Couple with no dependents: • Funeral expenses • Medical bills • Elderly parents you may support • Debts (mortgage, car) Couple with dependents: • Funeral expenses • Medical bills • Debts (mortgage, car) • Child-rearing expenses • Health Insurance payment • Elderly parents you may support • Education costs Older couple: • Funeral expenses • Medical bills • Estate taxes • Income for surviving spouse • Debts (home, vacation home, recreational vehicle) • Health Insurance payment • Assets for children or grandchildren A Few Reasons Why You May Need Additional Life Insurance: Underwritten By: PO Box 5008, Madison, WI 53705 Administered By: 9202 West Dodge Road, Suite 302 Omaha, NE 68114 ph: 800.597.2341/ fx: 402.592.1808 Certificate form number GTL-2-CERT ici.nh.broch.life.08.09 Unique Features of the Iowa City Plan Leave of Absence Provision: Your Life Insurance will remain in effect during an employer-approved paid or unpaid leave of absence up to 24 months, per your employee contract, as long as premium payments continue to be made. Accelerated Death Benefit: If you are diagnosed with a terminal illness, a portion of the Life Insurance benefit can be paid to you while you are living to cover medical expenses, go on a dream vacation or fulfill any other desired purpose. Minimum and maximum amounts apply. Waiver of Premium Benefit: If you become totally disabled prior to age 60 and are unable to work in any occupation, your Life Insurance coverage would continue to age 65 and you would not have to make any premium payments after you have been disabled for six months. When Will Coverage End? Portability: If your employment ends, you can choose to take the Life Insurance coverage with you. Restrictions apply, premiums and fees may be higher and you must apply and pay the first premium payment within 31 days following termination. Age: All coverage reduces to 65% at age 70, 45% at age 75, 30% at age 80, 20% at age 85, 15% at age 90, 10% at age 95 and terminates at retirement. Additionally, spouse and child/ren coverage will end when the employee’s coverage ends. Dependent Child: The coverage will end when your child reaches age 21 (25 for full-time student) unless your child is an eligible disabled child who is unable to work. Armed Forces: The coverage will end if the covered person enters the armed forces on a full time basis. Life Insurance Limitations and Exclusions Suicide: If you or your spouse or your dependent(s) commit suicide within two years from the effective date of coverage, no benefits will be payable. 0-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75+ $10,000 $0.80 $0.90 $1.15 $1.80 $2.70 $4.20 $6.20 $8.30 $14.90 $23.80 $40.70 $20,000 $1.60 $1.80 $2.30 $3.60 $5.40 $8.40 $12.40 $16.60 $29.80 $47.60 $81.40 $30,000 $2.40 $2.70 $3.45 $5.40 $8.10 $12.60 $18.60 $24.90 $44.70 $71.40 $122.10 $40,000 $3.20 $3.60 $4.60 $7.20 $10.80 $16.80 $24.80 $33.20 $59.60 $95.20 $162.80 $50,000 $4.00 $4.50 $5.75 $9.00 $13.50 $21.00 $31.00 $41.50 $74.50 $119.00 $203.50 $60,000 $4.80 $5.40 $6.90 $10.80 $16.20 $25.20 $37.20 $49.80 $89.40 $142.80 $244.20 $70,000 $5.60 $6.30 $8.05 $12.60 $18.90 $29.40 $43.40 $58.10 $104.30 $166.60 $284.90 $80,000 $6.40 $7.20 $9.20 $14.40 $21.60 $33.60 $49.60 $66.40 $119.20 $190.40 $325.60 $90,000 $7.20 $8.10 $10.35 $16.20 $24.30 $37.80 $55.80 $74.70 $134.10 $214.20 $366.30 $100,000 $8.00 $9.00 $11.50 $18.00 $27.00 $42.00 $62.00 $83.00 $149.00 $238.00 $407.00 $110,000 $8.80 $9.90 $12.65 $19.80 $29.70 $46.20 $68.20 $91.30 $163.90 $261.80 $447.70 $120,000 $9.60 $10.80 $13.80 $21.60 $32.40 $50.40 $74.40 $99.60 $178.80 $285.60 $488.40 $130,000 $10.40 $11.70 $14.95 $23.40 $35.10 $54.60 $80.60 $107.90 $193.70 $309.40 $529.10 $140,000 $11.20 $12.60 $16.10 $25.20 $37.80 $58.80 $86.80 $116.20 $208.60 $333.20 $569.80 $150,000 $12.00 $13.50 $17.25 $27.00 $40.50 $63.00 $93.00 $124.50 $223.50 $357.00 $610.50 $160,000 $12.80 $14.40 $18.40 $28.80 $43.20 $67.20 $99.20 $132.80 $238.40 $380.80 $651.20 $170,000 $13.60 $15.30 $19.55 $30.60 $45.90 $71.40 $105.40 $141.10 $253.30 $404.60 $691.90 $180,000 $14.40 $16.20 $20.70 $32.40 $48.60 $75.60 $111.60 $149.40 $268.20 $428.40 $732.60 $190,000 $15.20 $17.10 $21.85 $34.20 $51.30 $79.80 $117.80 $157.70 $283.10 $452.20 $773.30 $200,000 $16.00 $18.00 $23.00 $36.00 $54.00 $84.00 $124.00 $166.00 $298.00 $476.00 $814.00 $210,000 $16.80 $18.90 $24.15 $37.80 $56.70 $88.20 $130.20 $174.30 $312.90 $499.80 $854.70 $220,000 $17.60 $19.80 $25.30 $39.60 $59.40 $92.40 $136.40 $182.60 $327.80 $523.60 $895.40 $230,000 $18.40 $20.70 $26.45 $41.40 $62.10 $96.60 $142.60 $190.90 $342.70 $547.40 $936.10 $240,000 $19.20 $21.60 $27.60 $43.20 $64.80 $100.80 $148.80 $199.20 $357.60 $571.20 $976.80 $250,000 $20.00 $22.50 $28.75 $45.00 $67.50 $105.00 $155.00 $207.50 $372.50 $595.00 $1,017.50 $260,000 $20.80 $23.40 $29.90 $46.80 $70.20 $109.20 $161.20 $215.80 $387.40 $618.80 $1,058.20 $270,000 $21.60 $24.30 $31.05 $48.60 $72.90 $113.40 $167.40 $224.10 $402.30 $642.60 $1,098.90 $280,000 $22.40 $25.20 $32.20 $50.40 $75.60 $117.60 $173.60 $232.40 $417.20 $666.40 $1,139.60 $290,000 $23.20 $26.10 $33.35 $52.20 $78.30 $121.80 $179.80 $240.70 $432.10 $690.20 $1,180.30 $300,000 $24.00 $27.00 $34.50 $54.00 $81.00 $126.00 $186.00 $249.00 $447.00 $714.00 $1,221.00 Am o u n t o f S u p p l e m e n t a l L i f e I n s u r a n c e Your Age iac.new.rs.08.09 Employee Coverage Choose your Life Insurance coverage in $10,000 increments up to $300,000. Note: the amount cannot exceed six times your annual salary. Spouse Coverage Choose your spousal coverage in $10,000 increments up to $300,000. Note: the spousal amount cannot exceed your amount. Child Coverage Choose one of the following coverage amounts for your child/ren: $2,000 for $0.30 per month $5,000 for $0.75 per month $10,000 for $1.50 per month Monthly Premium Payments for Iowa City Supplemental Life Insurance Conveniently Deducted from Your Paycheck