the conversion of group policy
employee can convert to individual life policy without proof of insurability at the standard rate based on the individual attained age
what type of insurance can group life convert to
any type of insurance except term insurance
when converting from group plan to individual plan how much will the face amount of the individual plan be?
it will be the same as the face amount of the group plan
between the group plan premium and the converted individual plan premium which will higher
the individual plan
after how many days can the employee exercise his conversion option
after 31 days
if the insured dies during the conversion period what happens
death benefit equal to the individual policy is paid by the group plan
what happens when the group plan is terminated
everyone who has been in the plan for 5 years will be allowed to convert to individual permanent insurance with the same coverage
when accelerated benefits are paid under a life insurance policy to terminally ill person how are the benefits received?
tax free
when accelerated benefits are paid under a life policy to a chronically ill person how are the benefits received
tax free up to a certain limit
how are the proceeds paid to a named beneficiary in a life insurance?
free of federal income tax if taken as lump sum
When a beneficiary receives payments consisting of both principal and interest portions, which parts are taxable as income?
the interest portions