Have you ever tried to read your Lockheed Martin Group Benefits Plan for Life and accident insurance to have a better understanding of your options? If so, you’ll know that it can be difficult because the Summary Plan Description covers all life insurance types and is 72 pages long. So, what do you do? Many people have found success by using our expertise in this area as well as focusing on only one type of life insurance at a time. This post will tell you what you need to know about your Group Universal Life Insurance so that you have a clear understanding of your options.
- Lockheed’s Group Universal Life insurance is actually underwritten by The Prudential Insurance Company of America. This is good news for you because this insurance is private, which means it’s portable; you are allowed to keep the coverage even after you leave the company or retire. Here are 10 key things to know:
- While employed and if eligible*, you are able to enroll or increase your coverage amount at any time. (To enroll, contact your Lockheed Martin Employee Service Center at (866) 562-2363 or (201) 242-4397.)
- Coverage amounts can be 1x – 8x your annual salary but cannot exceed the maximum coverage of $4 Million. (Coverage automatically increases as your salary increases.)
- Proof of insurability is only required if the coverage requested is over 2x your salary, $500k or if you are requesting an increase to your current coverage.
- Your policy contains a Waiver of Premium which means if you become totally disabled, then no premiums will be owed until age 65. (Please realize that proof of disability is usually required to be provided annually and if you should die from something other than the disability within the first year of the waiver being activated, then the death benefit may not be paid out.)
- Should you become terminally ill and have no more than 6 months to live, the policy has an Accelerated Death Benefit that will pay you 50% of your coverage or $250k, whichever is less.
- Premiums are paid through automatic payroll deduction, so you don’t have to remember to send in a payment each month.
- Monthly premiums are tiered based on age bands from ages 30 – 70 and range from $24 per thousand at age 30 to $1,439.50 per thousand at age 70. (Rates will increase as you enter a new age band.)
- Coverage ends when you terminate employment, retire or disenroll from the insurance plan, stop paying your premiums, or if you are on unpaid leave/furlough/absence for more than 30 days.
- You have 30 days to convert your policy out from under the group plan and all the policy details and premiums remain the same. (Should you die within the 30-day conversion period, the death benefit will still pay out to your beneficiary.)
- When the time comes to make a claim, contact the Lockheed Martin Employee Service Center at (866) 562-2363 or (201) 242-4397.
Now you have the top 10 key things to know! Be sure to enlist the assistance of an advisor to determine your insurance needs so that you can apply for the proper amount of your Lockheed’s Group Life insurance.
* Eligibility – An active full-time salaried employee not covered by a collective bargaining agreement· An active part-time salaried employee not covered by a collective bargaining agreement who is regularly scheduled to work 20 hours or more a week· An employee in any bargaining unit which has adopted this plan
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