Chapter 7: Group Life
An employee with $25,000 group term life coverage was recently fired. This employee's group coverage may be converted to a
$25,000 individual whole life policy, In This situation a terminated employee may convert to a individual whole life policy
When a employee is terminated, which statement about a group term life conversion is true?
Policy proceeds will be paid if the employee dies during the conversion period
When an employee is terminated, which statement about a group term life conversion is true?
Policy proceeds will be paid if the employee dies during the conversion period
Under federal tax laws what is the tax treatment for an employer providing $50,000 contributory group term life plan to all its eligible employees?
Portion of the premiums paid for by the employer may be tax deduction, in a contributory plan The employer may file a tax deduction for its share of the premium costs
Group life insurance policies are generally written as
annually renewable term
A person who is insured within a group contract will be given a
certificate
What type of group insurance plan involves employees sharing the cost?
contributory plan
Which of the following statements about non-contributory employee group life insurance is False?
A minimum number of employees are required to participate
Which provision is not requirement in a group life policy?
Accidental (AD&D)
What group term I feature permits an individual to be part from the group and continue to be Covered without providing evidence of insurability
Conversion,The conversion privilege allows an individual to leave the group term plan and continue his or her insurance without providing evidence of insurability
And employee of 20 years recently retired at 59 1/2. This employee group life contract can be
Converted to an individual permanent policy at an individual rate
Under a trustee group life policy who would be eligible for a certification of coverage?
Employee
Which of the following is an important underwriting principle of group life insurance?
Everyone must be covered in the group
S while in the process of Converting her group life insurance to an individual plan dies. What happens to the claim her beneficiary submits?
Full benefits are payable under the master contract
