Accidental Death &
Dismemberment Benefits at a Glance
The Basic Life Insurance Plan is an Erlanger-paid group
term life insurance and accidental death and dismemberment insurance plan.
To be eligible for Basic Life and Accidental Death &
Dismemberment (AD&D) benefits you must be hired to work a minimum of 19.5
hours per week (0.52 – 1.00 FTE) and be classified as a regular employee.
Eligibility is lost if an employee’s status changes to
below a 0.52 FTE or upon separation of employment.
Your coverage is effective after 6 months of
The amount of the group term life insurance coverage is
equal to your base annual salary and is employer paid. The beneficiary must
comply with the terms of the underwriter in making the claim for a benefit. This
plan provides double indemnity for accidental death and dismemberment. This plan
also has an accelerated death benefit.
If you become terminally ill while
insured under the Basic Life Insurance provision, you may apply for this Living
Benefit Option. This election is allowed only once in your lifetime and is
subject to the conditions shown below.
Terminally ill means your life expectancy is less than 6
months. This must be certified by a Physician and accepted by Unum.
Living benefits will be payable when Unum receives
acceptable proof from your Physician that you are terminally ill. Such proof
must be in a form that is satisfactory to Unum. At the time such proof is given,
Unum may have you examined by a Physician of Unum’s choice. This will be at
The amount of the Living Benefit will be:
- 50% of the Life Insurance amount shown in the
Schedule of Benefits;
- determined as of the date Unum accepts proof that you
are terminally ill;
- payable only if you are living when payment is made;
- not more that $100,000.
In no event will the amount payable to your beneficiary
upon your death, plus the amount payable to you for this Living Benefit, exceed
the amount that would have been payable to your beneficiary if you had not
applied for this Living Benefit.
The amount available for you to convert to a personal
policy under the Conversion of Life Insurance provision will be reduced by the
amount of the Living Benefit paid to you.
NOTE: Benefits paid under this Living Benefit Option may
be taxable. If so, you or your beneficiary may incur a tax obligation. As
with all tax matters, you should consult your personal tax advisor to assess the
impact on this benefit.
AD & D Exclusions
The AD & D (Accidental Death and
Dismemberment) benefit plan does not cover any accidental losses caused by,
contributed to by, or resulting from:
- suicide, self destruction while sane, intentionally
self-inflicted injury while sane, or self-inflicted injury while sane, or
self-inflected injury while insane.
- active participation in a riot.
- an attempt to commit or commission of a crime under
state or federal law.
- the use of any prescription or non-prescription drug,
poison, fume or other chemical substance unless used according to the
prescription or direction of your physician. This exclusion will not apply to
you if the chemical substance is ethanol.
- disease of the body or diagnostic, medical or
surgical treatment or mental disorder as set forth in the latest edition of
the Diagnostic and Statistical Manual of Mental Disorders.
- being intoxicated
- operating any motorized vehicle while intoxicated.
- war, declared or undeclared, or any act of
Your beneficiary designation is maintained in your Human
Resources personnel file and may also be viewed through Employee Direct
Access. You can change your beneficiary at any time by completing a new
beneficiary designation form. The change is effective the date that it is
received by Human Resources. A person’s right as a beneficiary ends
- you name more than one beneficiary, they will share
equally unless you state otherwise,
- a beneficiary dies before you, his or her share will
be paid equally to the surviving beneficiaries, unless you state
otherwise. Any amount for which a beneficiary is not named will be paid
to your estate.
If you meet the eligibility criteria, you are automatically
covered under this plan.
Erlanger Health System pays the entire cost of the plan for
active, eligible employees.