2012 Additional Life & AD&D Insurance Open Enrollment FAQ
When is the Additional Life & AD&D Insurance Open Enrollment taking place?
September 1, 2011 through October 31, 2011. An enrollment form will be mailed to your home address to be completed and returned to APS Employee Benefits. You may also download a copy of the form that can be printed and completed. The original completed form must be either mailed to APS or may be delivered in person.
Why are we having a special Open Enrollment for Additional Life & AD&D Insurance coverage?
APS and The Standard Insurance Company have redesigned the Additional Life & AD&D Insurance program to offer employees competitive group rates, flexibility and pre-approved coverage amounts. The new Additional Life & AD&D plan will replace the current Contributory Life and Supplemental Life Insurance Plans. All employees currently enrolled for Contributory Life or Supplemental Life Insurance must re-enroll for Additional Life Insurance coverage by October 31, 2011 as the current plans will no longer be available.
How do I find out what my current life insurance coverage is?
If you currently have Contributory Life insurance, your benefit is based on the following table:
| Annual Earnings | Current Benefit |
|---|---|
| Less than $5,000 | $10,000 |
| $5,000 and less than $6,000 |
$16,000 |
| $6,000 and less than $7,000 | $25,000 |
| $7,000 and less than $8,000 |
$31,000 |
| $8,000 and less than $9,000 | $40,000 |
| $9,000 and less than $10,000 |
$48,000 |
| $10,000 and less than $11,000 |
$56,000 |
| $11,000 and less than $12,000 |
$63,000 |
| $12,000 and less than $14,000 |
$69,000 |
| $14,000 and less than $16,000 | $75,000 |
| $16,000 and over | $81,000 |
What is changing this year?
- The Basic Life Insurance benefit which all eligible, full-time APS employees receive at no cost to the employee, is increasing from $5,000 to $10,000 on January 1, 2012, with no action needed on the part of the employee.
- The Contributory Life and Supplemental Life Insurance benefits are being replaced by the new Additional Life Insurance plan.
- The Additional Life Insurance benefit is changing in two ways:
- Employees can now enroll for coverage in increments of $10,000 up to a maximum of $400,000.
- APS pays 50% of the premium, and employees pay 50%.
- This plan will replace the current Contributory Life and Supplemental Life plans.
- All Employees currently enrolled for Contributory Life or Supplemental Life Insurance must re-enroll for Additional Life Insurance coverage, as our current plans will no longer be available.
What is Basic Life Insurance and how do I sign up for it?
Basic life insurance is provided to all eligible, full-time APS employees. APS pays the entire premium. You don't need to do anything to sign up for basic life insurance at APS. You're already enrolled!
What is Additional Life Insurance and how do I sign up for it?
Additional Life Insurance is an elective, supplementary life insurance that provides an additional benefit, on top of the $10,000 Basic Life Insurance benefit you automatically receive as an eligible, full-time employee.
Life Open Enrollment 2012 is your only chance to enroll for Additional Life Insurance benefits without proof of good health. You are not eligible to enroll if you have been previously declined for coverage through Evidence of Insurability.
Can I enroll my Spouse and/or Dependents in the new Additional Life Insurance plan during Life Open Enrollment 2012?
This open enrollment applies to employee coverage only, not dependent coverage.
I have Contributory Life and Accidental Death & Dismemberment. What's happening to my plan?
We are discontinuing the Contributory Life plan:
- APS paid 60-80%, depending on employee salary
- Provided up to $81,000 in coverage
Instead, all employees will have the option to sign up for Additional Life insurance, (in addition to the $10,000 provided under the Basic plan):
- APS pays 50% across the board
- Provides up to $400,000 in coverage
You must re-enroll to take advantage of the new Additional Life Insurance plan. If you do not re-enroll, you will lose all contributory and supplemental life insurance and be left with only the Basic plan, which provides a $10,000 benefit.
How do I calculate the monthly cost of life insurance?
You can calculate the cost yourself by using the rate schedule below, or you can have Standard Insurance calculate the costs online at: www.standard.com/mybenefits/albpubschools
- Select Life Premium Calculator (left side of screen)
- Select your plan: Bi-monthly Employees or Food Services Employees
- Enter your age as of January 1, 2012
- Select desired amount of Additional Life Insurance ($10,000 up to $400,000)
- Select: Calculate
- Estimated bi-monthly (per paycheck) premium appears
Rate Schedules:
Regular Bi-monthly Employees:
|
The Standard Life and AD&D Insurance |
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|---|---|---|---|---|
|
Basic Life Coverage for $10,000 - 100% Employer Paid |
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Additional Life Coverage |
Rates per |
Coverage available in increments of $10,000 from |
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|
<30 |
$0.035 |
Please see Dependent Life |
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|
30-34 |
$0.045 |
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35-39 |
$0.051 |
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40-44 |
$0.056 |
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45-49 |
$0.086 |
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|
50-54 |
$0.113 |
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55-59 |
$0.201 |
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60-64 |
$0.304 |
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|
65-69 |
$0.568 |
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70+ |
$0.914 |
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To calculate your Life bimonthly payroll deduction, |
Example: $100,000 Coverage, Age 46 |
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|
1. Enter Amount of Coverage |
1. $100,000 |
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|
2. Divide by 1,000 (for # of units of $1,000) |
2. $100,000/$1,000 = 100 |
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3. Multiply by the rate for Employee's age group to get |
3. Additional Life rate for ages 45-49 is $0.086 |
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4. Multiply total premium by employee cost share of 50% |
4. $8.60 x 50% = $4.30 |
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Food Service Employees
|
The Standard Life and AD&D Insurance |
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|---|---|---|---|---|
|
Basic Life Coverage for $10,000 - 100% Employer Paid |
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|
Additional Life Coverage |
Rates per |
Coverage available in increments of $10,000 from |
||
|
<30 |
$0.046 |
Please see Dependent Life |
||
|
30-34 |
$0.060 |
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35-39 |
$0.067 |
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40-44 |
$0.074 |
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45-49 |
$0.115 |
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50-54 |
$0.150 |
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55-59 |
$0.267 |
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60-64 |
$0.405 |
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|
65-69 |
$0.757 |
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|
70+ |
$1.219 |
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|
|
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|
To calculate your Life bimonthly payroll deduction, |
Example: $100,000 Coverage, Age 46 |
|||
|
1. Enter Amount of Coverage |
1. $100,000 |
|||
|
2. Divide by 1,000 (for # of units of $1,000) |
2. $100,000/$1,000 = 100 |
|||
|
3. Multiply by the rate for Employee's age group to get |
3. Additional Life rate for ages 45-49 is $0.115 |
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|
4. Multiply total premium by employee cost share of 50% |
4. $11.50 x 50% = $5.75 |
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When can I change my life insurance election again?
In order to increase the amount of coverage after the initial enrollment, you must complete an Evidence of Insurability form, and be approved by The Standard.
What if I don't enroll in any life insurance plans during Life Open Enrollment 2012?
If you fail to enroll during Life Open Enrollment between September 1st and October 31st 2011, you will be disenrolled from all life insurance except the Basic $10,000 benefit that all eligible, full-time employees receive.
Long Term Disability Insurance
What is Long Term Disability Insurance?
Long Term Disability Insurance protects your income in the event you are no longer able to work due to illness or injury. Learn more >>
What is changing this year?
The current LTD benefit plan offers a 40%, 50%, and 60% monthly benefit plan option. Effective January 1, 2012, we are eliminating both the 40% and 50% benefit options.
Current enrollees will automatically be moved to the new 60% Long Term Disability Benefit Option on January 1, 2012. If you don't want to be automatically enrolled in the 60% benefit, you can opt out at any time by visiting Employee Benefits.
I am currently enrolled in the 40% or 50% benefit. What do I need to do?
If you are currently enrolled in the 40% or 50% plan option, and want to be automatically enrolled in the 60% plan option instead, you don't need to do anything.
If you are currently enrolled in the 40% or 50% benefit option and do not want to be automatically enrolled in the 60% benefit option, you must opt out by completing the Enrollment/Change form.
I am not currently enrolled in Long Term Disability, and I'd like to enroll. What should I do?
Employees may enroll for Long Term Disability insurance at any time during the plan year by completing an Evidence of Insurability form, which can be obtained from the Employee Benefits office. Standard Insurance must approve your application.
I don't want to be moved to the 60% Long Term Disability Benefit. What should I do?
Employees have the option to cancel/waive LTD Coverage by completing an APS Enrollment/Change form available in the Employee Benefits Office.
