College Policies I Life, AD&D and Long-Term Disability Insurance
**THIS POLICY IS UNDER REVISION**
Washington College provides two programs:
1) group life, accidental death and dismemberment insurance and
2) long-term disability insurance for eligible employees. Election to participate in a program(s) is exercised by completing and signing an enrollment form.
Full-time: Only regular full-time employees who have completed one year of continuous service are eligible to participate in one or both of the plans.
Effective Date of Coverage
Life insurance, accidental death and dismemberment and long-term disability are effective the first of the month after the employee becomes eligible, provided the employee is actively at work and has completed and signed the enrollment form. If the employee is not actively at work on the date the insurance would normally start, the insurance will not become effective until the first of the month after the employee is actively at work.
Amount of Insurance
The benefit is one and a half times the employee’s base annual salary up to a maximum benefit. For current amounts, please see the Employee Benefits Booklet.
Accidental Death and Dismemberment
The benefit is an amount equal to the life benefit for accidental death and specific amounts according to the schedule for other losses.
The benefit begins after the 180 consecutive day elimination period of total disability and pays 60% of basic monthly earnings with no less than $100 per month to a maximum benefit of $6,000 per month. The payment may be reduced by deductible sources of income and disability earnings. Some disabilities may not be covered or may have limited coverage under the plan. Benefits will be reduced after the employee reaches the age of 70 per the schedule published in the plan booklet. The disability policy also provides a contribution to the employee’s TIAA annuity plan, provided the employee has been in the plan more than three months. Additional information is available from Human Resources.
Cost of Insurance
Washington College pays the entire cost of the insurance premiums on life, accidental death and dismemberment and long-term disability. The cost of life insurance coverage in excess of $50,000 is taxable income and will be included in W-2 wages as required by the Internal Revenue Service.
Claim forms are available from Human Resources. Benefits will be paid upon approval of the insurance carrier.
The employee’s life insurance benefits will be paid to the beneficiary or beneficiaries who are designated on the original enrollment form or updated beneficiary designation form on file with Human Resources. To change a beneficiary, contact Human Resources to obtain the proper form.
Termination of Insurance
Upon separation, coverage will end on the last day of active employment. However, if an employee should die within 31 days following his/her termination date, the life insurance benefit would still be paid. Upon separation, the employee also has the right to continue life insurance coverage under an individual policy with the same carrier without evidence of insurability. The employee is responsible for the cost of this insurance. There is no option to continue long-term disability insurance.
Further Plan Details
Information is available from Human Resources. In the event of a conflict, the insurance contract or plan documents will prevail over other documents.