Term Life and Accidental Death and Dismemberment Plan
The Term Life and Accidental Death and Dismemberment (AD&D) Plan offers income security and peace of mind to your survivors upon your death. This plan provides death benefits coverage up to $200,000. AD&D coverage boosts the value of term life coverage with benefits if you die or are injured in a covered accident.
Amount of benefit
Your employer may provide term life and accidental death and dismemberment coverage in one of two ways:
- a fixed amount of coverage: $5,000, $10,000, $15,000, $20,000, $25,000, or $50,000
- one or two times your effective salary (up to $200,000)
Coverage details
If you die while enrolled, a lump-sum term life benefit equal to 100% of your coverage amount is paid to your designated beneficiary or eligible survivors.
AD&D benefits are payable if you die or suffer certain injuries, such as the loss of a limb, sight, or hearing, as a result of an accident. Accidental death benefits are paid in addition to term life benefits.
- The accidental death benefit equals 100% of your coverage amount as shown in the table.
- If multiple injuries occur from the same accident, the AD&D benefit is capped at 100% of your coverage amount.
| Covered loss | AD&D benefit amount |
|---|---|
| Accidental death | 100% of coverage amount |
| Both hands or both feet or sight of both eyes | 100% of coverage amount |
| One hand and one foot | 100% of coverage amount |
| One hand or one foot and sight of one eye | 100% of coverage amount |
| Speech and hearing | 100% of coverage amount |
| One hand or one foot | 50% of coverage amount |
| Sight of one eye | 50% of coverage amount |
| Speech or hearing | 50% of coverage amount |
| Thumb and index finger of same hand | 25% of coverage amount |
Children’s education benefit
If your death results from a covered accident, a children’s education benefit of up to $10,000 a year is paid to each dependent child under the age of 25, for up to a total of four years of study beyond high school after your death.
Enrollment
Your employer may provide Term Life and Accidental Death and Dismemberment Plan coverage if you are regularly scheduled to work at least 20 hours per week and are not enrolled in the Death and Disability Plan.
- If your employer provides this coverage, you will be automatically enrolled. The only action you need to take is to designate a beneficiary to receive term life and accidental death benefits.
- You do not have to provide a health statement (also known as evidence of insurability) to receive this coverage.
- Coverage continues for as long as your employer provides it and ends when your employment ends or your employer stops providing the coverage.
- Coverage may not be converted to an individual policy and is not available during retirement.
Supplemental death benefits
If you are enrolled in the Term Life and Accidental Death and Dismemberment Plan, you may apply for supplemental death benefits, for additional protection against the unexpected loss of income if you die. Supplemental death benefits are available for you, your spouse, and/or your eligible children.
Cost
The cost of term life and AD&D coverage is fully paid by your employer.