Life, AD&D and Long Term Disability Insurance
Life/Accidental Death & Dismemberment Insurance
Principal Financial Group
Policy Period: 10/01 - 09/30
Life Insurance Benefit:
1 x salary up to $250,000 maximum benefit
Accidental Death and Dismemberment Benefit:
1 x salary up to $250,000
Accelerated Death Benefit:
Should you become terminally ill, you may be able to access a portion of your life insurance benefit.
Benefit Reduction Schedule:
25% at age 65 and an additional 25% at age 70
Coverage During Disability:
Should you become totally disabled before 60, coverage will continue and premium will be waived. You must be totally disabled for 9 months before the waiver begins. Coverage continues without premium payment until you recover or turn age 70, whichever occurs first.
Conversion Privilege:
Upon termination of employment, an individual may convert this policy to a permanent policy, provided that written application is made, and the first premium is received within 31 days.
Long Term Disability Insurance
Principal Financial Group
Policy Period: 10/01 - 09/30
Long Term Disability Benefit:
60% of monthly earnings
Elimination Period:
90 days of consecutive disability. Benefits become payable on the 91st day.
Minimum Monthly Benefit:
The greater of 10% of pre-disability earnings or $100
Maximum Monthly Benefit:
$10,000
Mental/Nervous Limitation:
24 Months
Maximum Benefit Duration:
To age 65 or Normal Retirement Age
Survivor Benefit:
Yes
Pre-existing Condition Limitation:
Benefits will not be paid for a total disability caused by or resulting from a Pre-existing Condition unless the Insured has been Actively at Work for one full day following the end of 12 consecutive months from the date he/she became insured under the plan.
Definition of Disability:
Employees qualify as disabled during the elimination period and own occupation period if, because of sickness, injury or pregnancy, they cannot perform the majority of the substantial and material duties of their own occupation, or they are performing the duties of their own occupation on a modified basis or performing any other occupation and experience at least a 20% income loss.
Own Occupation Period and Definition:
Own occupation is the occupation you are routinely performing at the time of disability. The own occupation period is the period of time you must be unable to perform the duties of your own occupation. The own occupation period is the first 5 years of the benefit payment period.
Disability Benefits When Working:
For employees working during the benefit payment period, the monthly benefit payable for the 24 month work incentive period is the lesser of (1) 100% of indexed pre disability earnings, less income from other sources, less current earnings or (2) your primary monthly benefit, less income from other sources. Thereafter, the monthly benefit equals your primary monthly benefit, less income from other sources, multiplied by your income loss percentage.
Waiver of Premium:
Your premium will be waived if you are determined to be disabled under the provisions of the plan.