Your Life Insurance Plan - The Texas A_M University System by yaohongmeiyes


									Your Life
Insurance Plan

 Updated September 2012
The Texas A&M University                      All plan details are included in
System offers several life               the policy between The Texas A&M
                                         University System and Minnesota
insurance plans to protect
                                         Life Insurance Company. The policy
you and your family finan-
                                         is the final word on all plan provi-
cially in case of your death or          sions. In case of any discrepancy
the death of a dependent.                between this booklet and the policy,
                                         the policy will govern.

F    inancial protection for our fami-
     lies in case of our death or the
death of a family member is im-
                                              This booklet is neither a policy of
                                         current or future employment nor a
                                         guarantee of payment of benefits. The
portant for most of us. The System       System reserves the right to change
recognizes this need and offers Basic    or end the benefits described in this
Life/Alternate Basic Life and Option-    booklet at any time for any reason.
al Life coverage for you and Depen-           Enrollment or clerical errors do
dent Life coverage for your family.      not obligate the plan to pay benefits.
     Basic Life/Alternate Basic Life     If you or your dependents enroll in
and Optional Life pay benefits to        a coverage that you are not eligible
your beneficiary if you die while        for according to the policy and the
covered by the plans. Dependent          error is not detected until a claim
Life pays you a benefit if one of your   is incurred or filed, benefits will be
covered dependents dies. Basic Life      paid according to the policy. Clerical
coverage is included with all System     errors, when discovered, will be cor-
health plans. Optional Life, Alternate   rected according to the provisions of
Basic Life and Dependent Life are        the plan policy and published proce-
voluntary coverages.                     dures. The Texas A&M University
     These protections are provided      System offers several life insurance
as term insurance. Term insurance        plans to protect you and your family
doesn’t build up a value as does         financially in case of your death or the
whole life insurance. Term insur-        death of a dependent.
ance covers you for a specific term
– in this case, your employment and
retirement with the A&M System.
     This booklet describes your
Basic/Alternate Basic, Optional and
Dependent Life coverages. It pro-
vides a summary of plan provisions
in everyday language. While this
booklet does not contain every detail
about your plans, most of your ques-
tions can be answered by referring to
this booklet.
                                                                        Life 1
                         Table of Contents
         Participation                                                         3
         All full-time and many part-time employees and retirees and
         their eligible dependents are eligible for health coverage.
         Coverage can begin on your first day of work.

         Coverage Cost                                                         8
         Basic Life or Alternate Basic Life is generally paid for by
         the state. You pay for Optional and Dependent Life if you
         choose to take these coverages.

         Basic Life/Alternate Basic Life                                      10
         Basic Life/Alternate Basic Life pays a benefit to your beneficiary
         if you die while covered by the plan. The plan includes accidental
         death and dismemberment benefits.

         Optional Life                                                        13
         Optional Life pays a benefit to your beneficiary if you die while
         covered by the plan. You choose the amount of coverage to buy.

         Dependent Life                                                       15
         Dependent Life pays you a benefit if a dependent dies while
         covered by the plan. You can choose one of three Dependent
         Life plans.

         Special Provisions                                                   17
         An Accelerated Death Benefit, counseling services and
         worldwide travel assistance are available under all life
         insurance plans.

         Filing a Claim                                                       20
         You or your beneficiary must file a claim for life insurance
         benefits. If your claim is denied, you or your beneficiary
         may follow a review process.

         When Coverage Ends                                                   22
         Coverage normally ends on the last day of the month in
         which your employment ends. In some cases, coverage may
         be extended.

         Administrative and Privacy Information                               25
         Here are some other facts about the plan you might want to
         keep handy.

2 Life
All full-time and some part-                     Dependent children include:
time employees and retirees                 P a natural child,
and their eligible dependents               P an adopted child,
                                            P a stepchild who has a regular par-
are eligible for life insurance
                                                ent/child relationship with you,
coverage. Coverage can be-                  P a foster child under a legally su-
gin on your first day of work.                   pervised foster care program,
Participation is voluntary.                 P a child for whom you are the legal
                                                 guardian or legal managing con-

Y     ou and your dependents are
      eligible to participate in the life
insurance plans if you:
                                                 servator and with whom you have
                                                 a regular parent/child relationship,
                                            P a grandchild who lives with you,
P	 are eligible to participate in the            and
    Teacher Retirement System of            P a dependent for whom you have
    Texas (TRS) or Optional Retire-              received a court order to provide
    ment Program (ORP), and
                                                 life insurance coverage.
P	 work at least 50% time for at least
                                                 You will be asked to provide legal
    4½ months.
                                            papers to verify your relationship to
    You and your dependents are also
                                            any dependent.
eligible if you are a graduate student
                                                 A stillborn child is not eligible for
employee who works at least 50%
                                            coverage or benefits.
time for at least 4½ months, or if
                                                 Coverage for a child may continue
you are a postdoctoral fellow. To be
                                            beyond age 25 only if the child is
eligible for coverage as a retiree, you
                                            mentally or physically unable to earn
must meet the criteria listed in the
                                            a living and is dependent on you for
chart on the next page.
                                            support. You must notify your Human
    Eligibility for this plan is subject
                                            Resources office of the child’s dis-
to change by the A&M System or the
                                            ability before the child’s 25th birthday.
Texas Legislature.
                                            Periodically, you may be required to
                                            provide evidence of the child’s con-
ELIGIBLE DEPENDENTS                         tinuing disability and your support.
You may choose to buy Dependent
Life coverage on your eligible de-
pendents. You may choose to enroll
                                            IF YOU AND YOUR
some eligible dependents and not oth-
                                            SPOUSE WORK FOR THE
ers. Only those dependents you list
                                            A&M SYSTEM
                                            If your spouse works for the A&M
on your enrollment form will be cov-
                                            System, you may choose:
ered. Eligible dependents include:
                                            P to be covered as an employee on
P	 your spouse, and
                                                Alternate Basic Life or Optional
P	 your unmarried, dependent chil-
                                                Life, or
dren younger than 25.

                                                                                Life 3
         P to be covered as a dependent of your         ENROLLING IN THE PLAN
              spouse on Dependent Life.                 Coverage for you and your dependents
              You may not be covered under both         can take effect either on your hire date or
         Alternate Basic Life or Optional Life and      on your employer contribution eligibility
         Dependent Life. If you wish to trans-          date (the first of the month after your 90th
         fer coverage from your policy to your          day of employment) if you enroll before,
         spouse’s policy, or vice versa, after your     on or with-in seven days after your hire
         first 60 days of eligibility and the change    date.
         would result in a higher coverage amount,          If you enroll beyond the seventh
         you must submit evidence of insurability       day after your hire date, but during your
         (see explanation under Enrolling in the        60-day enrollment period, your coverage
         Plan).                                         can take effect either on the first of the
              Children may be covered by only one       following month or on your employee
         parent if both parents work for the A&M        contribution eligibility date. You may
         System.                                        also choose to have your Life coverage

                                       RETIREE ELIGIBILITY
             If you were retired from or employed           If you were hired by the A&M Sys-
         in a benefits-eligible position with the       tem in a benefits-eligible position after
         A&M System on Aug. 31, 2003, you are           Aug. 31, 2003, or if you left A&M Sys-
         eligible for health coverage as a retiree      tem employment before Aug. 31, 2003,
         when:                                          and did not meet the criteria listed at left
         P you are at least age 55 and have at          as of Aug. 31, 2003, you are eligible for
             least 5 years of service credit, or your   health coverage as a retiree when:
             age plus years of service equal at         P you are at least age 65 and have at
             least 80, or you have at least 30 years        least 10 years of service credit, or
             of service, and                                your age plus years of service equal
         P you have 3 years of service with the             at least 80 and you have 10 years of
             A&M System, and                                service credit, and
         P the A&M System is your last state-           P you have 10 years of service with the
             employer.                                      A&M System, and
             If you left A&M System employment          P the A&M System is your last state
         before Sept. 1, 2003, but you met the              employer.
         above criteria as of Aug. 31, 2003, you            If you are in TRS, you must also pro-
         qualify for retiree benefit coverage under     vide documentation that you are receiv-
         these criteria.                                ing or have applied to receive your TRS
             If you are in TRS and you retire after     annuity payments.
         Aug. 31, 2003, you must also provide
         documentation that you are receiving or
         have applied to receive your TRS annu-
         ity payments.

4 Life
begin before your employer contribu-     coverage by ½ or one increment up to
tion eligibility date, but have your     3 times pay, and/or enroll one or more
dependents’ coverages begin on your      dependents in Dependent Life.
employer contribution eligibility            You must be actively at work
date.                                    on the day your coverage begins or
     If you do not enroll yourself and   increases. If you are not, coverage will
your dependents within the time-         be delayed until you return to work.
frames above and you choose to
enroll at a later date, in most cases    FORMER EMPLOYEES
you must provide evidence of insur-      You are eligible for coverage as a
ability and your enrollment must be      retiree if you are a former employee
approved by Minnesota Life. Provid-      who meets the eligibility criteria listed
ing evidence of insurability means       on the previous page. You do not have
you fill out a form available from       to provide evidence of insurability to
your Human Resources office, and         enroll in Basic/Alternate Basic, Op-
send it to Minnesota Life. Or, you       tional or Dependent Life if you enroll
can complete an evidence of insur-       in a coverage amount that is equal to
ability questionnaire on Minnesota       or less than the amount of coverage
Life’s web site. Your coverage will      you had at the time you left System
become effective on the first of the     employment.
month that falls on or after the day          You may apply for coverage within
Minnesota Life approves your evi-        60 days of meeting the eligibility cri-
dence of insurability. Approval is not   teria on the previous page or within 60
guaranteed.                              days of leaving a TRS-eligible posi-
     Under certain circumstances,        tion with another state employer after
Minnesota Life may require that you      meeting the eligibility criteria. In these
or a dependent be examined by a          cases, you may choose to have your
doctor.                                  coverage become effective on the first
     If you are an active employee and   of the month following the date the
have a qualified Change in Status, as    Human Resources office receives your
described on page 6, you may en-         application or on your employer con-
roll in some life coverage after your    tribution eligibility date (the first of the
first 60 days of eligibility without     month that falls at least 90 days after
providing evidence of insurability as    the Human Resources office receives
long as you turn in your enrollment      your application) If you do not enroll
form to your Human Resources of-         on one of these dates, you may en-
fice within 60 days of the Change in     roll during a later Annual Enrollment
Status. You may enroll in Alternate      period. In that case, you can choose to
Basic Life, or enroll in or increase     have your coverage become effective
Optional Life coverage by ½ or 1         on the next Sept. 1 or Dec. 1.
times pay, increase Optional Life

                                                                              Life 5
         CHANGING YOUR                             If you increase the amount of your
           COVERAGE                           life coverage, you must be actively at
   Once you enroll in Alternate Basic         work on the day the increased cov-
   or Optional Life and/or Dependent          erage becomes effective. If you are
   Life insurance, you can reduce your        not, the increase in coverage will be
   coverage amount or drop your cov-          delayed until you return to work. This
   erage at any time. If you wish to          is also the case when your coverage
   increase Optional Life coverage after      increases as the result of a pay raise.
   your first 60 days of employment,
   you must provide evidence of insur-           CHANGES IN STATUS
   ability, unless you are an active em-      Changes in Status include:
   ployee and make the change within          P employee’s marriage or divorce or
   60 days of a Change in Status (see             death of employee’s spouse,
   the following section). However, you       P birth, adoption or death of a de-
   may increase Optional Life coverage            pendent child,
   by only one salary increment (except       P change in employee’s, spouse’s
   to four, five or six times pay) without        or dependent child’s employment
   providing evidence of insurability.            status that affects benefit eligibil-
   You also must provide evidence of              ity,
   insurability to change from Depen-         P employee’s receipt of a qualified
   dent Life Plan B to Plans A or C.              medical child support order or
       If you are enrolled in Optional            letter from the Attorney General
   Life, you may switch to Alternate              ordering the employee to provide
   Basic Life without providing evi-              (or allowing the employee to drop)
   dence of insurability. In this case, you       medical coverage for a child,
   can have coverage of the lesser of         P	 changes made by a spouse or
   seven times salary or $50,000 or the           dependent child during his/her
   amount of your Optional Life cov-              annual enrollment period with
   erage, whichever is less. You must             another employer,
   provide evidence of insurability to        P		child becoming ineligible for cov-
   increase your coverage.                        erage due to reaching age 25 (age
       Changes in coverage become ef-             26 for medical, age 25 for optional
   fective on the first of the month that         coverages),
   falls on or after the date your Benefit    P	 changes in the employee’s,
   Change Form is received in the Hu-             spouse’s or a dependent child’s
   man Resources office or your evi-              residence that would affect eligi-
   dence of insurability is approved by           bility for coverage,
   Minnesota Life, whichever is later.        P significant employer- or carrier-
       If your pay increases during the           initiated changes in or cancellation
   plan year (any time other than Sept.           of the employee’s, spouse’s or
   1), your coverage amount will in-              dependent child’s coverage.
   crease immediately and premiums                Changes in coverage must be con-
   will increase the following Sept. 1.       sistent with the Change in Status. For
                                              example, if you have a baby, you may

6 Life
add that child to your coverage, but    LEAVE OF ABSENCE
you may not drop your other chil-       If you take a paid leave of absence,
dren.                                   your coverage will continue and
    A divorce is considered official    premiums will be deducted from your
when the trial court announces its      pay. However, if you take an unpaid
decision in open court or by written    leave, you must make arrangements
memorandum filed with the clerk.        through your Human Resources office
    You must provide dependent          to continue your premium payments or
documentation to add or change cov-     to cancel your coverage.
erage for dependents.                       If you continue your coverage
                                        during an unpaid leave, the coverage
IF YOUR WORK HOURS                      amount and premium will be the same
ARE REDUCED                             as before your leave, but you will not
If your work hours are reduced to       receive the employer contribution
less than 50% time, you may con-        toward your Basic Life or Alternate
tinue your full amount of coverage if   Basic Life premium.
you had been covered under the plan         Should you decide to discontinue
for at least 4½ continuous months.      your life coverage, your coverage will
However, you will have to pay the       automatically be reinstated without
full cost of the coverage. You should   evidence of insurability when you
contact your Human Resources office     return, regardless of the plan year.
to make arrangements for paying             If your Basic Life or Alternate
your premiums.                          Basic Life premium is paid by the
    If your work hours are reduced to   employer contribution and you take
between 50% and 99% time, you           an unpaid leave under the Family
may keep the same level of benefits     and Medical Leave Act, the employer
you had before the reduction and        contribution will continue to pay your
continue to receive the employer        premium during the leave.
contribution (see Coverage Cost on
page 8) toward the cost of your Basic
Life or Alternate Basic Life cover-
age. Should you prefer to have your
benefits and premiums reduced, con-
tact your Human Resources office.

                                                                        Life 7
         Basic Life or Alternate Basic             OPTIONAL LIFE
         Life is generally paid for by             The cost of your Optional Life
         your employer. You pay for                coverage is based on your age, the
         Optional and Dependent                    amount of coverage you choose and
                                                   whether you use tobacco products.
         Life if you choose to take
                                                   Your premium will increase each
         these coverages.                          time you move into a higher age
                                                   category. Age categories are broken

         Y     our employer pays the full cost
               of Basic Life coverage if you
                                                   into five-year bands (for example,
                                                   45-49 and 50-54). If your birthday
         enroll in an A&M System health plan.
                                                   falls on or between Sept. 1 and the end
         You must pay for any Optional or
                                                   of February of a plan year and you
         Dependent Life coverage you elect.
                                                   will move to a higher age category,
         You must pay for Basic Life if you
                                                   you must pay the higher premium for
         wish to enroll and do not have A&M
                                                   the entire year. If your birthday falls
         System health coverage. If you waive
                                                   on or between March 1 and Aug. 31,
         A&M System health coverage but
                                                   you begin paying the higher premium
         have other health insurance, you may
                                                   at the beginning of the next plan year.
         apply part of the employer contri-
                                                        You are considered a tobacco user
         bution toward Alternate Basic Life
                                                   if you have used any tobacco products
                                                   in the last 3 months. This includes
             If coverage for you or your de-
                                                   chewing tobacco as well as smoking
         pendents begins in the middle of a
                                                   products. You can change your tobac-
         month, you must pay your full pre-
                                                   couse category at any time.
         mium for the month.
                                                        You must be tobacco-free for at
                                                   least 3 months to be considered a non-
         BASIC LIFE                                tobacco user.
         Your premium, if you do not have
         A&M System health coverage, is an
                                                   DEPENDENT LIFE
         amount set each year based on plan
                                                   Your premium is based on the plan
         costs. It is the same for all employees
                                                   you choose. For plans A and C, spouse
         and retirees, regardless of age or
                                                   premium will be determined based on
         tobacco use.
                                                   an age-based table. For Plan B, spouse
                                                   premium is based on a unit rate per
         ALTERNATE BASIC LIFE                      month.
         The cost of your Alternate Basic
                                                       Child premium is based on a rate
         Life coverage is based on the Basic
                                                   per $1,000.
         Life rate and the amount of coverage
         you choose.

8 Life
WAIVER OF PREMIUM                          While you are receiving waiver
    If you become disabled, your       of premium, your life insurance will
premiums for Basic Life/Alternate      continue at the same coverage level as
Basic Life, Optional Life and De-      you had when you became disabled.
pendent Life may be waived. To         You cannot voluntarily increase or
qualify for waiver of premium, you     decrease your coverage. However,
must be:                               involuntary changes may be made. For
P an active employee,                  example, if a covered child marries
P younger than 60,                     and therefore becomes ineligible for
P totally and permanently disabled,    coverage, that child will be dropped
    and                                from the Dependent Life plan.
P able to submit proof of disability       You may enroll a new dependent
    within 12 months after you stop    in Dependent Life while you are re-
    paying your life premiums.         ceiving waiver of premium. However,
    You must continue to pay your      you will be responsible for paying the
premiums until waiver of premium       premium.
is approved. Then the System will          While you are disabled, your life
pay your premiums until the earliest   insurance and waiver of premium
of:                                    must be renewed each year. You may
P the date you stop being disabled,    be required to submit proof of your
P the date your life coverage ends,    continued disability each year within
    or                                 three months before the renewal date.
P the date you reach age 65.               You do not have to have Long-
                                       Term Disability coverage to qualify
                                       for waiver of premium.

                                                                       Life 9
          Basic Life/Alternate Basic Life               The plan provides $7,500 in life
          pays a benefit to your benefi-             coverage and $5,000 in accidental
          ciary if you die while covered             death and dismemberment (AD&D)
          by the plan. The plan includes
          accidental death and dismem-
                                                     ALTERNATE BASIC LIFE
          berment benefits.                          If you do not enroll in an A&M System
                                                     health plan, but certify that you have

          T    he Basic Life/Alternate Basic Life
               plan pays a benefit to your benefi-
          ciary (see page 21) if you die from any
                                                     other health coverage, you may use up to
                                                     half of your employer health coverage
                                                     contribution to purchase optional benefit
          cause while covered by the plan. The       coverages, including Alternate Basic Life.
          plan also pays you a benefit if you        Alternate Basic Life provides life cover-
          have certain losses as a result of an      age of $50,000 or seven times your salary,
          accident.                                  whichever is less, and $5,000 in AD&D
          BASIC LIFE                                    If you are a retiree or you are an
          You are automatically covered by Ba-       employee transferring your Optional
          sic Life while you are covered by any      Life coverage to Alternate Basic Life
          System health plan. You may choose         coverage, your Alternate Basic Life
          to enroll and pay the premium if you       coverage amount cannot exceed the
          do not have A&M System health cov-         amount of Optional Life coverage you
          erage.                                     had immediately before enrolling in
                                                     Alternate Basic Life unless you provide
                                                     evidence of insurability.

                                BASIC LIFE AT A GLANCE
           If you have A&M System health coverage or if you do not have A&M System
           health coverage and do not certify that you have other health coverage:
                                                Life                   AD&D
                              Employees:        $7,500                 $5,000
                              Retirees:         $7,500                 $5,000
                              Children:         $5,000                 $0

                       ALTERNATE BASIC LIFE AT A GLANCE
           If you do not have A&M System health coverage but certify that you have
           other health coverage:
                                                Life                   AD&D
                               Employees:       $50,000 (or seven      $5,000
                                                times pay, if less)
                               Retirees:        Up to $50,000          $5,000
                                                (Reduced to $30,000
                                                at age 80)
                               Children:        $5,000                 $0

10 Life
    If you drop System health cover-      – $7,500 in Basic Life benefits and
age and certify that you have other       $5,000 in Basic AD&D benefits.
health coverage and you do not have           If you lose a hand and a foot in an
Optional Life coverage, you must          accident, the plan will pay you a total
provide evidence of insurability to       of $5,000 – $2,500 for the hand and
enroll in Alternate Basic Life. If you    $2,500 for the foot. However, if you
are a retiree enrolled in Alternate Ba-   lost both feet and both hands, your
sic Life your coverage will automati-     benefit would still be $5,000 because
cally be reduced to $30,000 when          you cannot receive more than your
you reach age 80.                         full coverage amount for all losses
    You may pay for Alternate Basic       from a single accident.
Life using the employer contribu-             AD&D benefits will not be paid
tion. If you purchase Alternate Basic     for any loss resulting from or caused
Life coverage, you may not purchase       by:
Optional Life coverage.                   P intentionally self-inflicted injury
                                              or self destruction, whether sane
BASIC AD&D                                    or insane; or
Basic Life/Alternate Basic Life in-       P suicide or attempted suicide,
cludes Basic AD&D coverage. Basic             whether sane or insane; or
AD&D coverage pays your benefi-           P the insured’s participation in or at-
ciary a $5,000 benefit if you die as          tempt to commit a crime, assault,
a result of an accident and within            felony, or any illegal activity,
90 days after the accident. This is in        regardless of any legal proceed-
addition to your Basic Life/Alter-            ings, or the absence of any legal
nate Basic Life benefit. AD&D pays            proceedings, thereto; or
$2,500 to you if you lose a hand,         P bodily or mental infirmity, illness
foot or sight of an eye as a result of        or disease; or
an accident and within 90 days of the     P the use of alcohol, drugs, medica-
accident.                                     tions, poisons, gases, fumes or
    Loss of a hand or foot means              other substances taken, absorbed,
severance at or above the wrist or            inhaled, ingested or injected, un-
ankle joints. Loss of sight means             less taken upon the advice of a
entire and irrecoverable loss of sight.       licensed physician in the verifiable
    If you have two losses result-            prescribed manner and dosage;
ing from the same accident, the plan      P motor vehicle collision or accident
may pay benefits for both, but in             where the insured is the operator
no case will you receive more than            of the motor vehicle and this in-
your full coverage amount from the            sured’s blood alcohol level meets
AD&D benefits for all losses from a           or exceeds the level at which
single accident.                              intoxication is defined in the state
    For example, if you are an active         where the collision or accident
employee and you die as a result of           occurred, regardless of any legal
an accident while covered by the              proceedings, or the absence of any
Basic Life plan, the plan will pay            legal proceedings thereto; or
your beneficiary a total of $12,500
                                                                                     Life 11
   P infection, other than infection        CHILDREN’S BASIC LIFE
       occurring simultaneously with,       If you have Basic or Alternate Basic
       and as a direct result of, the ac-   Life coverage, your eligible dependent
       cidental injury; or                  children (see page 3) will automatical-
   P   medical or surgical treatment        ly be covered for $5,000 in Basic Life
       or diagnostic procedures or any      insurance (subject to certain coverage
       resulting complications; or          limitations). You do not have to enroll
   P   travel in or descent from any        your children. Your spouse is not eli-
       aircraft, except as a fare-paying    gible for Basic Life insurance.
       passenger on a regularly sched-
       uled commercial flight on a li-
       censed passenger aircraft carrier;
   P   war or any act of war, whether
       declared or undeclared; or
   P   service in the military of any na-

12 Life
Optional Life pays a benefit           RETIREES
to your beneficiary if you die          If you are younger than 70, you may
while covered by the plan.              choose Optional Life coverage of any
You choose the amount of                multiple of $1,000 up to $100,000 or
coverage to buy.                        the amount of coverage you had at
                                        retirement, whichever is less. Once

Y      ou decide whether to buy         you choose your initial coverage
       Optional Life coverage and, if   amount, you may not increase your
so, how much coverage to buy.           coverage beyond that amount or
                                        $100,000, whichever is more. If you
EMPLOYEES                               keep coverage of more than $60,000,
You can buy coverage of ½, 1, 2, 3,     your coverage will automatically be
4, 5 or 6 times your annual pay. For    reduced to $60,000 when you reach
example, if you earn $20,000 a year,    age 70, and $30,000 when you reach
you could buy $10,000, $20,000,         age 80.
$40,000, $60,000, $80,000, $100,000          If you are between ages 70 and 80,
or $120,000 in Optional Life cover-     you may choose Optional Life coverage
age.                                    of any multiple of $1,000 up to $60,000
     The maximum coverage you can       or the amount of coverage you had at
buy is $1 million. To buy coverage      retirement, whichever is less.
of four, five or six times your pay,         You can buy more coverage than
you must always provide evidence of you had just before you retired or later
insurability.                           increase your coverage if you provide
     Annual pay means your annual       evidence of insurability. You must
budgeted pay on Sept. 1 of each year. choose a coverage amount in muliples
(See page 6 for information regarding of $1,000, and you may increase up to
midyear changes in annual budgeted      $100,000 if you are younger than age
pay.) It does not include commissions, 70 and $60,000 if you are between
bonuses, overtime, longevity or haz-    ages 70 and 80.
ardous duty pay or other fringe ben-         If you did not have Optional Life
efits. If you are a less than- 12-month coverage when you retired, you must
employee, your annual pay will be       provide evidence of insurability to
calculated by multiplying your month- enroll.
ly budgeted pay by 12.                       Your life coverage was automati-
     Coverage will be rounded to the    cally reduced to $5,000 if you retired
next lower multiple of $1,000 if your before Sept. 1, 1984, or $7,500 if you
multiple of pay is not an even multiple retired on or after Sept. 1, 1984, but
of $1,000.                              before Sept. 1, 1988.
     You may not purchase Optional
Life coverage if you purchase Alter-
nate Basic Life coverage.

                                                                     Life 13
   BENEFIT PAYMENT                          INCONTESTABILITY
   The plan will pay your coverage          Minnesota Life will not contest the
   amount to your beneficiary if you die    validity of your insurance after your
   from any cause while covered by the      insurance has been in force for two
   plan.                                    years during your lifetime.
       Applies only to employee Op-
   tional Life and life insurance on your
   spouse under the policy. A benefit
   will not be paid for a death claim as
   a result of suicide within two years
   of the effective date of insurance or
   within two years after an increase in
   the amount of insurance for which
   an insured was required to apply or
   for which Minnesota Life required
   evidence of insurability.

14 Life
Dependent Life pays you a                 PLAN B
benefit if a dependent dies               You may elect Plan B coverage for
while covered by the plan.                your dependents only if you have
You can choose one of three               Basic Life, Alternate Basic Life or
                                          Optional Life insurance on yourself.
Dependent Life plans.
                                               Plan B provides $5,000 in life

Y     ou may choose to cover your         insurance on your spouse and each
      dependents under the Dependent      enrolled child.
Life plan. You choose from Plans A, B          Plan B also includes $5,000 of
or C. In all cases, the plan pays you a   AD&D coverage. However, if you are
benefit if a covered dependent dies.      retired, AD&D benefits are available
You may choose to enroll some of          to your dependents only if the de-
your eligible dependents and not oth-     pendents were covered under Plan B
ers. Only those dependents listed on      when you retired.
your enrollment form will be covered.          For example, if you have $5,000
                                          in Dependent Life coverage on your
PLAN A                                    spouse, your spouse also has AD&D
You may elect Plan A coverage in          coverage of $5,000. This means that
an amount as shown below for your         if your spouse dies as a result of an
dependents only if you purchase Op-       accident, the benefit will be $10,000.
tional Life insurance on yourself.             This AD&D coverage works the
    Plan A does not include accidental    same way and is subject to the same
death and dismemberment (AD&D)            limitations as the AD&D coverage
benefits.                                 under Basic Life/Alternate Basic Life.
                                          See page 11 for an explanation of
                                          these benefits.

                                    Plan A
Spouse:              $25,000, $50,000, $75,000, $100,000, $150,000 or
Child:               $200,000
                                   Plan B
Spouse and
each Child:          $5,000 Life/$5,000 AD&D

                                   Plan C
Spouse:              50% of your Alternate Basic Life amount
Child:               10% of your Alternate Basic Life amount

                                                                         Life 15
          PLAN C                                 AT RETIREMENT
          You may elect Plan C coverage for      When you retire, the maximum
          your dependents only if you purchase   coverage amount for your spouse
          Alternate Basic Life insurance on      is $50,000. When you turn age 70, the
          yourself.                              spouse maximum is $30,000, and the
              Plan C covers your spouse, if      maximum is $15,000 when you reach
          enrolled, for 50% of your Alternate    age 80.
          Basic Life coverage amount and each        If you already have one or more
          enrolled child for 10% of your Al-     children covered at a grandfathered
          ternate Basic Life coverage amount.    amount and you wish to add a new
          Plan C does not include AD&D           child, you may choose to keep the
          benefits.                              grandfathered coverage amount for
                                                 each child, or choose coverage of
                                                 $10,000 for each child. Whichever
                                                 you choose, all children must have the
                                                 same amount of coverage.

16 Life
An Accelerated Death Benefit               erage once your application has been
and counseling services are                received by Minnesota Life.
                                               The Accelerated Death Benefit may
available under all life insur-
                                           be taxable. As with all tax matters, you
ance plans.                                may want to consult a tax advisor to

                                           assess the effect of this benefit on your
   n addition to the benefits previously
                                           tax status.
   described in this booklet, the life
                                               You will no longer have to pay your
plan includes an Accelerated Death
                                           Basic and Optional Life or Alternate
Benefit and access to grief, financial
                                           Basic Life and Dependent Life premi-
planning and legal counseling ser-
                                           ums once an Accelerated Death Benefit
                                           claim due to your illness or a covered
                                           dependent’s illness has been approved.
ACCELERATED DEATH                              The Accelerated Death Benefit will
BENEFIT                                    not be paid if:
The Acclerated Death Benefit allows
                                           P	 the terminal illness is a result of the
you or a dependent to receive payment
                                               covered person’s attempted suicide,
of part of your or the covered depen-
                                               while sane or insane, or selfinflicted
dents’ life benefit while terminally
ill. This benefit helps those who need
                                           P the terminally ill person’s life insur-
extra money to pay the costs generally
                                               ance benefit has been assigned, or
associated with terminal illnesses. Re-
                                           P the person’s life insurance benefit
ceiving the Accelerated Death Benefit
                                               is payable to an irrevocable benefi-
is voluntary for those who qualify.
     If a doctor certifies that you have
less than 24 months to live, you may
apply for immediate payment of up to
                                           COUNSELING SERVICES
                                           If you or a covered dependent dies
50% of your total life amount not to
                                           while covered by the plan, grief, finan-
exceed $1,000,000. The Accelerated
                                           cial planning and legal counseling
Death Benefit will be paid to you in a
                                           will be available to the beneficiary(ies).
lump sum, and your beneficiary will
                                           This service includes:
receive the remaining benefit after
                                           P Access to a 24-hour, 365-days-a-
your death.
                                               year toll-free telephone number that
     The Accelerated Death Benefit is
                                               is answered by a counselor who
also available for dependents who
                                               will assess the caller’s needs and
have Dependent Life coverage. The
                                               coordinate referrals with trained
Accelerated Death Benefit for Depen-
dent Life insurance will be paid to you
                                           P Five face-to-face working sessions
in a lump sum.
                                               with a grief counselor, financial
     If you file a claim for an Accel-
                                               planner and/or legal advisor.
erated Death Benefit, you may not
                                               Benefits are available for up to one
increase the amount of your life cov-
                                           year from the date of the initial contact.

                                                                            Life 17
   TRAVEL BENEFITS                          outside your home country, the plan
   The life plan provides medical           will pay to return dependent children
   evacuation and repatriation benefits     to their home. If necessary, the plan
   to participants, including foreign       will also pay for services of a nonfam-
   nationals living in the United States.   ily escort for the return of the depen-
   These benefits will be offset by any     dent children.
   benefits payable by any group in-            If a traveling companion must
   surance plan, health maintenance         forfeit his or her return air fare due to
   organization, workers’ compensation      the medical emergency, the plan will
   or occupational disease act or law,      pay to return the companion to his or
   or any government plan. For each         her home. The plan will also pay for
   of these benefits, “home country”        one round trip for one family member
   means where you maintain your            or friend to visit the covered person
   primary home or, if you are a foreign    if hospitalization lasts more than four
   national living in the United States,    days.
   the country in which you hold citi-
   zenship.                                      Repatriation: If you or a covered
                                            family member dies while traveling
        Medical Evacuation: If you or       outside your home country, the plan
   a covered family member becomes          will pay the usual and customary cost
   ill or injured while traveling outside   to return the body to the home coun-
   your home country and requires care      try. The plan will cover documen-
   not locally available, the life plan     tation and authorization from the
   will pay the usual and customary cost    authorities, embalming or cremation,
   to evacuate you or the family mem-       an appropriate coffin or urn designed
   ber.                                     for transportation of remains, and the
        The attending physician must        transportation to the place of burial by
   order the evacuation due to the          the most direct and economical route.
   severity of the condition, and trans-    Minnesota Life must make all ar-
   portation must be by the most direct     rangements and approve all expenses.
   and economical route. The physi-
   cian ordering the evacuation may         TRAVEL ASSISTANCE
   not be the covered patient or his or     SERVICES
   her spouse, child, brother, sister or    Through the life plan, pre-trip assis-
   parent. Transportation may be to the     tance, emergency medical assistance
   nearest hospital where appropriate       and other nonmonetary types of travel
   medical treatment can be obtained or     help are available to you while travel-
   to the patient’s home or a hospital      ing on business or vacation.
   near the home after local hospital           These services, provided by
   treatment. Medical services and sup-     Global Rescue, are designed to
   plies required as part of the emergen-   provide information or facilitate the
   cy evacuation will be covered.           delivery of services. You pay any cost
        If you or a covered family mem-     associated with a service you might
   ber is hospitalized while traveling      need. However, you pay nothing for
                                            the assistance provided by Global

18 Life
Rescue. For example, Global Rescue        Other Services: Among the other ser-
will not charge you for arranging         vices provided is emergency message
for emergency medical care, but you       relay to allow you to send and receive
will be responsible for the cost of the   emergency messages toll-free, 24
care.                                     hours a day through the Global Res-
                                          cue Customer Service Center. The
     Pre-Trip Assistance: Informa-        center is staffed by multilingual pro-
tion and services available to you        fessionals and is available for emer-
and your family before you leave on       gency contact with relatives, friends
a trip include:                           and business associates.
P visa, passport and inoculation              For information or assistance, con-
     requirements,                        tact Global Rescue at 1-800-381-9754
P cultural information,                   within the U.S. and Canada. From
P temperature and weather condi-          other locations, call (617) 459-4200.
     tions,                               Their website is
P embassy and consular referrals,
P foreign exchange rates, and
P travel advisories.

   Emergency Medical Assistance:
These nonmonetary services are
available to you and your family
while traveling:
P local medical referrals – names,
   addresses and telephone numbers
   of physicians, hospitals, dentists
   and dental clinics in many areas
   around the world,
P medical monitoring – commu-
   nication with local attending
   medical personnel to obtain a full
   understanding of the patient’s
   situation and monitor his/her
   condition, and
P replacement of medication and
   eyeglasses – help in obtaining
   medication or eyeglasses locally
   or having these items shipped to
   you if you lose, forget, run out of
   or have an unexpected need for a
   prescribed medication, or break
   or lose your eyeglasses or your
   eyeglasses are stolen.

                                                                         Life 19
          FILING A CLAIM
          You or your beneficiary must             HOW      TO APPEAL A CLAIM
          file a claim for life insurance          If your claim for benefits is denied
          benefits. If your claim is de-           in whole or in part, Minnesota Life
          nied, you or your beneficiary            will notify you in writing. The written
                                                   notice will give specific reasons for the
          may follow a review process.
                                                   denial and reference the specific plan

                                                   provisions on which the denial is based.
             f you or your beneficiaries have a
                                                   It will also describe any additional ma-
             claim for life or AD&D benefits,
                                                   terial you must submit and explain the
          you or a beneficiary should contact
                                                   claim review procedures.
          your Human Resources office within
                                                       You or your authorized represen-
          20 days or as soon as reasonably pos-
                                                   tative may submit a written request
          sible after the death or accident. That
                                                   for reconsideration to Minnesota Life
          office will give you the forms you
                                                   within 90 days of receiving the denial.
          need to apply for Basic Life/ Alternate
                                                   Be sure to state why you believe the
          Basic Life, Optional Life or Depen-
                                                   claim should not have been denied and
          dent Life benefits. You must submit
                                                   submit any data, questions or com-
          a written claim for AD&D benefits to
                                                   ments you think are appropriate. You
          Minnesota Life within 91 days after
                                                   may also review any pertinent plan
          the accident.
                                                   documents. Your appeal will be re-
                                                   viewed by the claims administrator.
          Claims should be mailed to:
                                                       Minnesota Life’s decision on your
                                                   appeal will be sent to you in writing
            Minnesota Life Insurance Company
                                                   and will include the specific reasons for
            Attention Claims Department
                                                   the decision as well as specific refer-
            P.O. Box 64114
                                                   ences to the appropriate plan provisions
            St. Paul, MN 55164-0114
                                                   on which the decision is based. This is
                                                   the final decision on your claim.
               Minnesota Life has the right to
          have you or a covered family member
          examined by a doctor of its choice as
                                                   CLAIM PAYMENTS
                                                   All benefits for your dismemberment
          often as necessary while a claim for
                                                   or the death or dismemberment of a
          dismemberment is pending. Minnesota
                                                   covered family member will be paid
          Life will pay the cost of any examina-
                                                   to you. However, you may name a
          tion they require.
                                                   secondary beneficiary to receive the
               Disagreements about benefits are
                                                   proceeds of Dependent Life Insurance.
          rare, but should you and Minnesota
                                                   Should you die, your life benefits will
          Life disagree about your eligibility for
                                                   be paid to your beneficiary.
          or the amount of your benefit, you
                                                       Benefits are normally paid directly
          may follow a review process.
                                                   to the beneficiaries in a lump sum via
                                                   check or direct deposit into the benefi-
                                                   ciary’s checking or savings account.

20 Life
    If you die and have not named a             You may also name one or more
beneficiary or all beneficiaries die be-   secondary beneficiaries to receive
fore or at the same time as you, pay-      your benefit in case your primary
ment will be made to your spouse,          beneficiary(ies) dies before or at the
children, parents, siblings or estate.     same time as you do. If you name
        Benefits payable to a minor        more than one, you must designate
will be paid to the legally appointed      the percentage of the benefit each
guardian or to another adult who has       is to receive. Secondary benefi-
assumed the custody and principal          ciaries are paid benefits only if all
support of the minor.                      primary beneficiaries die before or
    Minnesota Life may pay up to           at the same time as you. Secondary
$250 to any person(s) who has in-          beneficiary(ies) named to receive
curred funeral expenses for you. This      Dependent Life proceeds will be paid
will be deducted from the benefit          benefits only if you die before or at
paid. In addition, the beneficiary may     the same time as your dependent.
have benefits paid to a funeral home            You may name the same or dif-
to cover funeral expenses.                 ferent beneficiaries for your Basic,
                                           Alternate Basic and Optional Life
NAMING A BENEFICIARY                       benefits. You may change your
You are automatically the beneficiary      beneficiary designation at any time
for dismemberment benefits on your-        by completing a form available from
self. You must name a beneficiary to       your Human Resources office in
receive Basic, Alternate Basic and         paper or electronic format. If your
Optional Life benefits in case of our      beneficiary dies, you should change
death. You are the primary benefi-         your designation immediately. You
ciary of all benefits payable for a        may want to review your designation
covered family member, but you may         if you marry or divorce.
name a secondary beneficiary to re-
ceive Dependent Life insurance pro-
ceeds. The beneficiary designation(s)
must be made on a form provided
by your Human Resources office in
paper or electronic format.
    You may name one or more pri-
mary beneficiaries. If you name more
than one person as a primary benefi-
ciary, you should also designate the
percentage of the benefit each should
receive. Otherwise, benefits will be
divided equally. For example, you
might direct that your spouse receive
50% of the benefit and each of your
two children receive 25%. Benefit
percentages must equal 100%.

                                                                          Life 21
          Coverage normally ends on                 P the last day of the month in which
          the last day of the month in                  you ask that your coverage be
          which your employment ends.
                                                    P the last day of the month in which
          In some cases, coverage may                   your employment ends or you be-
          be extended.                                  come ineligible for coverage, or
                                                    P the day the A&M System stops

          A     s long as the plan remains in
                effect, you may be covered by
          the plan if you continue to meet the
                                                        participating in the plan.
                                                        Your Alternate Basic Life coverage
                                                    will also end if you enroll in Optional-
          eligibility requirements.                 Life, and vice versa. Dependent Life
              Your Basic Life coverage will end     coverage ends on the earliest of the
          on the earliest of the following dates:   following dates:
          P the day this policy ends,               P the day this policy ends,
          P the last day of the plan year if you    P the end of the last month for which
              drop health coverage during An-           you paid the required premium,
              nual Enrollment unless you elect      P the last day of the plan year if you
              to pay the premium to continue            drop coverage during Annual En-
              Basic Life coverage,                      rollment,
          P the last day of the month in which      P the last day of the month in which
              you ask that your health coverage         you ask that your dependents’ cov-
              be dropped unless you elect to pay        erage be dropped,
              the premium to continue Basic         P the last day of the month in which
              Life coverage,                            the dependent stops meeting the
          P the last day of the month in which          definition of an eligible dependent
              your employment ends or you               (see page 3),
              become ineligible for coverage, or    P the last day of the month in which
          P the day the A&M System stops                you die,
              participating in the plan.            P the last day of the month in which
              Your Alternate Basic Life or Op-          your employment ends or you be-
          tional Life coverage (and your Basic          come ineligible for coverage, or
          Life coverage if you pay the premiums     P the day the A&M System stops of-
          because you do not have A&M Sys-              fering Dependent Life coverage.
          tem health coverage) will generally           A divorce is considered official
          end on the earliest of the following      when the trial court announces its
          dates:                                    decision in open court or by written
          P the day this policy ends,               memorandum filed with the clerk. You
          P the end of the last month for which     must provide documentation to drop
              you paid the required premium,        your divorced spouse.
          P the last day of the plan year if
              you drop coverage during Annual

22 Life
EXTENSION OF BENEFITS                      generally be lower than premiums
If you or a covered dependent dies         for coverage continued under con-
within 31 days after coverage ends,        version but generally greater than
that loss will be covered. The plan        premiums for active employees.
will pay the benefit based on the          Portability is available to you only
amount of coverage you or the depen-       until you reach age 70.
dent was eligible for under the con-            The application for portabil-
version policy.                            ity of life insurance must be made
                                           within 31 days of the date life
PORTABILITY                                insurance would otherwise end.
When your Optional and Dependent                Life insurance continued under
Life coverages end, you may convert        the portability benefit will end on
your coverage to an individual policy      the earliest of the following:
                                           P the date you return to work
(as explained in the next section) or
you may elect the portability benefit.          with the A&M System while
To elect portability, your coverage             the A&M System’s policy with
must have ended because:                        Minnesota Life is still in force,
                                           P the date you fail to pay the
P your employment ended,
P you are no longer eligible for cov-
                                                required premiums when due,
                                           P the date you reach age 70, or
    erage, or
                                           P the premium due date follow-
P you are retiring and experiencing
    a decrease in coverage.                ing the date a dependent stops
    If you elect portability, Minnesota    meeting the definition of a depen-
Life will bill you directly on a quar-     dent.
terly, semi-annual or annual basis,             Portability for a dependent is
and your life insurance will continue      only available if the employee’s
under the terms of the group policy,       coverage is ending for the reasons
except for Waiver of Premium (see          mentioned above and, therefore,
page 9) and the Accelerated Death          the dependent life coverage is end-
Benefit (see page 17). Waiver of           ing. If the dependent him/herself
Premium is not available if your total     is losing coverage for one of the
and permanent disability begins after      reasons above, only conversion is
coverage under portability becomes         available.
effective. The Living Access Benefit            If life insurance under portabil-
is not available if you become termi-      ity ends because you have reached
nally ill after coverage under portabil-   age 70, the covered individual no
ity becomes effective.                     longer qualifies for coverage as
    You may elect conversion or            a dependent, or the group policy
portability, but not both. You may buy     is terminated, you or your cov-
portability coverage for yourself and      ered dependent may convert to an
your covered dependents in any             individual policy of life insurance
mount up to the amount of coverage         in accordance with the terms of the
you lost. The premiums for cover-          conversion provision. No evidence
age continued under portability will       of insurability will be required.

                                                                         Life 23
   The amount of the conversion policy           A dependent may convert cov-
   may not exceed the amount of life         erage to an individual policy if the
   insurance you had under the portabil-     dependent’s coverage ended because:
   ity benefit.                              P your employment ended,
                                             P you are no longer eligible for cov-
   CONVERSION                                    erage,
   When your Basic, Alternate Basic,         P the plan ended,
   Optional and Dependent Life cover-        P you died, or
   ages end, you may convert your cov-       P the dependent no longer meets the
   erage to an individual policy if your         definition of an eligible dependent
   coverage ended because:                       (see page 3).
   P your employment ended,                      You must apply for conversion of
   P you are no longer eligible for cov-     your coverage within 31 days of the
       erage,                                date your coverage under this policy
   P you are retiring and experiencing a     ends. The amount and terms of the
       decrease in coverage,                 conversion policy may differ from
   P you are no longer eligible for          those of this policy.
       Waiver of Premium and are expe-
       riencing a decrease in coverage, or
   P the plan ended.

24 Life
Here are some other facts              INSURANCE CARRIER
about the plan you might               AND CLAIMS
want to keep handy.                    ADMINISTRATOR
                                       Life plan benefits are insured
PLAN NAME                              through a policy with Minnesota
The official name of this plan is      Life Insurance Company. Claims
The Texas A&M University System        are also administered by Minnesota
Group Life Benefits Program. The       Life.
more familiar names for these plans
are the Life plan and Basic, Alter-    MANAGEMENT
nate Basic, Optional and Dependent     Minnesota Life
Life plans).                           400 Robert Street North
                                       St. Paul, MN 55101-2098
Director of Risk Management and        CLAIMS
Benefits Administration                Minnesota Life
The Texas A&M University System        P. O. Box 64114
John B. Connally Building              St. Paul, MN 55164-0114
301 Tarrow Dr., 5th Floor                  The plan policy governs all plan
College Station, TX 77840              benefits. You may examine a copy
Mail Stop: 1117 TAMU                   of the policy or obtain a copy for
(979) 458-6330                         a copying fee by contacting the
                                       Plan Sponsor.
The plan administrator is the Direc-   QUESTIONS AND
tor of Risk Management and Ben-        COMPLAINTS
efits Administration. Contact at the   If you have a question or a com-
address shown for the Plan Sponsor.    plaint, call Minnesota Life at 1-800-
                                       843-8358 or write to Minnesota
TYPE OF PLAN                           Life. If your problem is not resolved,
The Life plan is a group welfare       write to:
plan providing life and dismember-       Texas Department of Insurance
ment benefits. It is an insured plan     P.O. Box 149104
funded through employer and em-          Austin, TX 78714-9104
ployee contributions.                    FAX 1-512-475-1771

                                                                   Life 25
   33769-G - Basic Life
   33777-G - Optional and Dependent Life

   Plan records are kept on a plan-year
   basis. The plan year begins each Sept. 1
   and runs through the next Aug. 31.


   Plan Administrator

   This plan is intended to pay benefits
   only to you or your beneficiaries. Your
   benefits cannot be used as collateral for
   a loan.

   While The Texas A&M University
   System intends to continue these plans
   indefinitely, it may change, suspend or
   end the plans at any time for any reason.

26 Life
Systems Benefits Administration

                                  Life 27
John B. Connally Building
The Texas A&M University System
301 Tarrow Dr., 5th Floor
College Station, TX 77840

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