Term Life Provision

Summary of term life provisions

Beginning at age 65, your life coverage is reduced based on the benefit amount in force on your 64th birthday. This also applies to the AD&D benefit.

Age reduction schedule

Age 65 – 35% (percentage of coverage reduction)
Age 70 – 55% (percentage of coverage reduction)
Age 75 – 70% (percentage of coverage reduction)
Age 80 – 80% (percentage of coverage reduction)
Age 85 – 85% (percentage of coverage reduction)

Waiver of premium
Employees who are disabled for at least six consecutive months before age 60 can continue life insurance coverage and waive the premium. The employee is covered until age 65 if he or she remains totally disabled.

For qualified disabled, employee coverage continues and the premium is waived. Available in voluntary and basic plans.

Guaranteed conversion
If an employee or dependent loses coverage due to the employee’s loss of employment, loss of eligibility or reduction for age, the coverage can be converted to a permanent insurance plan. Maximum amounts to be converted vary based on the contract. If the group coverage ends due to termination of the policy, conversion is available when the member’s coverage has been in effect for at least three years. Voluntary ported coverage also can be converted when the policy is terminated. The conversion policy is issued without evidence of insurability.

An employee who is eligible to convert to an individual policy must notify Humana within the 31-day conversion period immediately after the date of termination. To receive additional information on conversion, and receive a conversion quote, please call our claims area at 1-866-836-6144.

Living benefit (accelerated death benefit)
An employee diagnosed with a terminal illness that is expected to result in death within 24 months can receive a portion of the insurance benefit. Amount payable is 50 percent to a maximum benefit of $250,000. The advanced amount will reduce the life insurance benefit at the time of death; this varies according to state regulations. Humana must approve the benefit application.

Residents of Alabama, Illinois, Indiana, Louisiana, Massachusetts, Ohio, Oklahoma, Texas, Virginia and Washington must have continuous coverage a minimum of 30 days to qualify for illness coverage. For accidents, coverage begins on the effective date of the policy.

Portability for voluntary life only
An active eligible employee who leaves the group can continue voluntary life insurance by paying annual premiums to Humana if he or she is not yet age 70. Only coverage in force or a lesser amount can be ported. Coverage is portable for dependents if the employee ports coverage. If the group terminates, ported coverage can be converted.

Portability is state-specific and is not available in Massachusetts and Minnesota. Portability does not include AD–D, waiver of premium, and accelerated death benefit.