Life Insurance

McLeod offers you basic, voluntary life and accidental death and dismemberment insurance benefits that can provide income to your family in the event of your death, accidental injury or the death of a covered dependent.

Basic and Supplemental Life Insurance
Dependent Life Insurance
Accidental Death & Dismemberment Insurance

Benefit	Coverage
Basic Life	1 x base salary ($10,000 minimum)*
Supplemental Life	1 x base salary, up to a total of 3 x base pay**
Dependent Life	Dependent child – $10,000 Spouse – $10,000, $20,000 or $30,000
Accidental Death & Dismemberment	$10,000 $20,000 $30,000 $40,000 $50,000 $100,000 $200,000 $300,000 Limit: Up to 10 x base salary to maximum of $300,000
When you are age 65 or older, your Basic Life Insurance amount will reduce to: 67% at age 65, 45% at age 70, 30% at age 75, 20% at age 80, 15% at age 85, 10% at age 90. *Maximum benefit: $1 million, basic and supplemental coverages combined.

Basic Group Term Life Insurance

If you are budgeted to work 40 hours or more per pay period, you will receive free guaranteed-issued basic life insurance equal to one-times your base salary up to one million dollars. See plan documents for exceptions and details. When you reach age 65, your Basic Life Insurance amount will reduce according to a schedule.* Certain employees who are eligible for two-times Basic Life Insurance and have remained in a benefits-eligible position have been grandfathered into this employer paid coverage level.

Keep in mind the “value” of any employer-provided life insurance coverage that is greater than $50,000 (based on IRS regulations), will result in taxable income to you. This is known as imputed income. The amount of imputed income will be shown on your pay stub, and any appropriate taxes will be withheld.

Conversion And Portability Privileges

If you have a change in status or are no longer eligible for life insurance coverage, you may be able to convert to a private policy or port your life insurance policy. Within 31 days of your life insurance coverage ending or reducing, you will receive a packet from New York Life with your portability and conversion options. The individual policy will be issued without evidence of insurability (EOI) and will contain life insurance benefits only.

For more information, contact New York Life at 888-737-3855.

Supplemental Group Term Life Insurance

McLeod Health offers you the opportunity to purchase additional term life insurance at group rates. If you are newly eligible, you can elect the maximum life coverage of up to 4-times base pay (including basic) without Evidence of Insurability (EOI). You have the ability to purchase at guaranteed issue one, two or three times your base salary up to $1,000,000 when combined with the Basic Life Guaranteed Issued Amount.

If you elect a higher increase in coverage during a subsequent plan year or for qualified life events, EOI is required. EOI must be approved before the additional coverage will become effective.

Your life insurance amounts will automatically increase or decrease when there is an increase or decrease in your base salary.

Accelerated Death Benefit

If while insured under this policy you provide satisfactory proof of a Terminal Condition, you may request a portion of your life insurance benefit. Terminal Condition means a condition that is expected to result in your death within a 12-month period or in which there is no reasonable prospect of recovery.

Dependent Life Insurance

While no amount of income can compensate for the death of a family member, it is important that the survivors be able to meet family financial responsibilities. To help you prepare for those financial concerns, McLeod offers a dependent life benefit of $10,000, $20,000 or $30,000 for your spouse and $10,000 for each covered child.

Dependent Term Life Insurance is available to employees who are budgeted 40 or more hours per pay period. Premiums are deducted from your paycheck on an after-tax basis, resulting in a non-taxable death benefit payable to you, if a covered dependent dies.

Dependent Life insurance elections above the guaranteed issue amount require the submission of Evidence of Insurability (EOI) and will not be effective until the date such elections are approved by the insurance company. You should contact the insurance company for more information about EOI requirement. For a list of 2023 McLeod Benefits Premium Rates, click here.

Accidental Death & Dismemberment Insurance

McLeod Health offers Accidental Death & Dismemberment (AD&D) insurance that provides benefits for you if you have a loss within 365 days of the accident. McLeod offers coverage options ranging from $10,000 to $300,000, up to a maximum of 10 times your base salary. AD&D Insurance is available to employees who are budgeted 40 or more hours per pay period. Please see the plan document for the value of payable benefit.

Contact New York Life at 888-737-3855 or click here to review the Summary Plan Description and Policy.

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