Retiree: Life Insurance


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Retiring employees may purchase term life insurance from Standard Insurance Company as follows:

The amount of life insurance may be any multiple of $1,000 up to the employee's annual salary at the time of retirement.
Minimum amount is $5,000 and maximum is $100,000.
The insurance requires no evidence of insurability.
For coverage terms and conditions, refer to the Life Insurance Plan.
Premium Cost: See the table below.
- Example: If Karen is retiring at age 64 with an annual salary of $49,500, she may elect $50,000 in coverage for a cost of $37.50 per month.

Life Insurance Premiums and Reduction in Policy Value
Attained Age	Monthly Premium Per $1,000 of Coverage	Value of Policy
45-49	$.18	no reduction
50-54	$.26	no reduction
55-59	$.49	no reduction
60-64	$.75	no reduction
65-69	$1.44	65%
70-74	$2.34	45%
75-79	$2.34	30%
80 and over	$2.34	20%

Reduction in Coverage: For those age 65 and above, the amount of coverage elected will be reduced as shown in the table above.
- Example: Karen has $50,000 in life insurance.
- When she turns 65, the policy value will be reduced to a value of 65% which is $32,500 (cost $46.80/month).
- When she turns 70, her policy value will be reduced to a value of 45% which is $22,500 (cost $52.65/month).
- When she turns 75, the policy value will be reduced to a value of 30% which is $15,000 (cost $35.10/month)
- When she turns 80, the value will be reduced to a value of 20% which is $10,000 (cost $23.40/month).

Wrap Plan (TransAmerica):

Employees who have an active WrapPlan group universal life insurance policy must convert to an individual policy at retirement.
For details, contact WrapPlan (TransAmerica) customer service at (888) 763-7474.