SICKNESS DEATH BENEFIT
Our members should be aware of a sickness death benefit that is available to those members who were on the Bell Atlantic active payroll as of August 9, 1986. This benefit is not life insurance; it is a component of the pension plan and can be found in the Summary Plan Description (SPD) for Pensions. To be eligible you must be continuously employed (except for certain layoff, retirement situations, or suspension where you were “made whole”) till you die from illness or off duty accident. You must have a mandatory beneficiary (spouse; unmarried dependent children under age 23; disabled child incapable of self support; dependent parent living with you or in a household you provide). The benefit is a year’s salary at the time of your death, capped at a maximum of $39,000. This benefit does not decrease with age. Please see the Pension SPD for complete details. Call the Verizon Benefits Center (877-489-2367) for a Confirmation of Coverage to keep in with your important papers for your family. Your family must claim this within one year of your death or it is forfeited.
BASIC LIFE INSURANCE
Verizon employees are entitled to a company paid life insurance policy. This is equal to your Benefit Bearing Wage (BBW), rounded up to the next $1,000. The BBW is one time your salary plus any awards, incentives, commissions and/or corporate profit sharing. This does not include overtime or differentials. At age 66 this policy will reduce in value each year by 10% until at age 70 it is frozen at 50% of your BBW. Coverage that is above $50,000 is taxed as imputed income. You will see that on your paycheck as “Taxable Grp Life Imptd). This is required by the IRS. Retirees will have an option of their BBW or you may choose to have only $50,000 coverage with no tax implication. Please consult the Life Insurance Benefits SPD for more details.
SUPPLEMENTAL LIFE INSURANCE
Supplemental life insurance may be purchased in increments of 1x-5x your BBW, rounded up to the next $1,000.00 the rates are based on age in 5 year increments. Coverage gets more expensive as you get older. Coverage amounts decrease beginning at age 65 (35%), age 70 (55%), age 75 (70%) and finally freezes at age 80 (80%)
ACCELERATED BENEFITS OPTION
If you are diagnosed with a terminal illness you may receive up to 50% of your Basic and Supplemental life insurance (max of $250,000) to help provide financial assistance to you and your family in advance. Please consult your Life Insurance SPD or call the Verizon Benefits Center 877-489-2367
Benevolent Telephone Death Benefit Fund Incorporated
38 Essex Street
Phone: (978) 475-6570