The RPB provides free group term life insurance and accidental death and dismemberment (AD&D) coverage for eligible RPB pension plan participants. Participants who are eligible for the free life insurance benefit can also purchase optional life insurance coverage in multiples of their salary. Premiums for the optional life insurance are based on an age-rated schedule and are competitively priced to similar coverage in the general group insurance marketplace.
An RPB Life Insurance Enrollment Form is included with the full enrollment package provided to eligible participants by the RPB. Please contact the RPB office to request enrollment materials for the RPB pension and life insurance plans.
Free Basic Life Insurance
RPB participants who have a combined annual pension contribution paid on their behalf of at least 10 percent of salary (including parsonage, if applicable) through their congregations/employers are eligible for free basic life and accidental death and dismemberment (AD&D) insurance coverage from the RPB. The 10 percent contribution can originate from either the employer or the participant (via elective salary deferral) to qualify for the free benefit. The benefit is equal to one times annual salary (including parsonage, if applicable) up to $50,000. The AD&D insurance program has a maximum benefit of $30,000.
Optional Life Insurance
RPB participants who have a combined annual pension contribution paid on their behalf of at least 10 percent of their salary (including parsonage, if applicable) by their congregations/employers are eligible to purchase optional life insurance. This insurance coverage, which is in addition to the free basic life insurance coverage, can be purchased in increments of up to five times their salary to a total maximum amount of $600,000.
Participants enrolling in the pension plan for the first time may purchase life insurance coverage equal to two times salary up to $300,000 without completing the insurance carrier’s Statement of Health form. Participants who want to purchase life insurance coverage in an amount greater than two times salary up to $300,000 must complete the insurance carrier’s Statement of Health form and be approved by the insurance carrier for the coverage. Participants who decide to increase their life insurance coverage after their initial enrollment, or who decide to purchase optional life insurance at a later time, will have to complete the insurance carrier’s Statement of Health form and submit it directly to the insurance carrier.
Please contact the RPB office to request the form. Upon notification of approval by the insurance carrier, the RPB will send an invoice to the participant for the premium due. Once the payment is made, the insurance policy will be in full effect.
Optional Life Insurance Rate Schedule
The premiums for the life insurance coverage are age-rated, and pricing is competitive with similar coverage available in the general insurance marketplace. Please see the Optional Life Insurance Rate Schedule below for the cost of optional life insurance for each age bracket:
Annual Rates as of July 1, 2016
Per $1000 of Life Insurance Coverage
|Age Brackets||Life Insurance Coverage|
Life Insurance Conversion to an Individual Policy
RPB participants have the option to convert their RPB basic and optional life insurance policies to an individual policy when they terminate employment with an eligible employer. At that point, participants would no longer be part of the “group” and would not be covered through the RPB group policy. Participants have 31 days from their termination date to convert their group coverage to an individual policy. Please contact the RPB office if you are a congregational representative and have a staff member leaving employment with your congregation so that we can work with you to complete the paperwork necessary to update our records and facilitate conversion of the life insurance to an individual policy if the participant wishes to do so.