Skip to content
  • Print

Liberty Mutual Optional Life and Accidental Death & Dismemberment

Peace of mind for you and for those who depend on you.

Pacific recognizes the importance of life insurance for employees at all ages and stages in life. Pacific provides Basic Life and Accidental Death & Dismemberment (AD&D) coverage for all benefit eligible employees. They also provide an opportunity for you to purchase additional Optional Term Life and AD&D insurance for you and your family.

Employee Basic Term Life and AD&D Coverage

This coverage is equal to 1 times annual base salary up to $1,000,000 in group term life and AD&D for all benefit eligible full-time and part-time employees which is paid for by Pacific.

Choose the Right Level of Protection

Because your lifestyle is unique, your life insurance needs are as well. Pacific provides an opportunity to purchase additional life insurance for you and your family. The amount of coverage you need is a personal decision. It depends on many factors such as your age, whether or not you have dependents, your other financial resources, and your debts.

Employee Optional Term Life and AD&D

This coverage is available for up to 5 times base salary not to exceed the maximum coverage amount of $1,000,000 (basic and optional life combined.) Any optional coverage you elect is paid by you with after tax contributions. The monthly rate is based on the amount selected and your age. You may also elect Spouse/Domestic Partner or Child(ren) Voluntary Term Life and AD&D Insurance for your dependents, which pays benefits to you in case of their death or accidental injury. You pay the full cost of coverage with after-tax contributions.

  • Spouse/Domestic Partner Voluntary Term Life and AD&D
    This coverage is available in increments of $10,000, up to a maximum coverage amount of $50,000.*  Guaranteed issue is $20,000.
  • Child(ren) Voluntary Term Life and AD&D
    This coverage is available for $5,000,$10,000 or $20,000 per child.* Guaranteed issue is $20,000.The premium is the same regardless of the number of eligible children covered.

*The Spouse and/or Child coverage may not be more than 50% of the employee's combined Basic and Voluntary Term Life benefit.

Other Things to Know:

  • To choose or update a beneficiary for your Basic or Optional Term Life coverage, use the  Beneficiary Designation Form. Note: You will automatically be the beneficiary for your dependents Voluntary Term Life insurance.
  • Employee and Spouse Employed by Pacific: If you and your spouse are both employed by Pacific, you may cover yourself under Employee Optional Life and AD&D or your spouse may cover you under Spouse Life and AD&D, however employees may not be covered as both an employee and a spouse.
  • Evidence of insurability is required before Optional Life and AD&D coverage is approved if:
    • You are newly eligible, enrolling for the first time, and selecting an amount greater than the guarantee** issue; or
    • You are currently enrolled and elect to increase your coverage as a result of a Qualifying Life Event.

                    **Guarantee Issue: Employee - 1 times base salary, Spouse - $20,000 and Child(ren) - $20,000.

  • Qualifying Life Event: You can only increase or decrease your current level of Optional Life and AD&D coverage's as a result of a adobe Qualifying Life Event. However, you can cancel your Optional Life and AD&D midyear. (Note: Increases in coverage will require approval of proof of good health).

To make changes to your benefits coverage, download the benefits enrollment and change form.

Optional Term Life and AD&D Rates
COST PER PAY PERIOD FOR $1,000 OF OPTIONAL TERM LIFE AND AD&D INSURANCE

2018 - 24 Pay period/Semi-monthly Employee
Age Employee & Spouse Age Employee & Spouse
Under 30 $0.035 50-54 $0.125
30-34 $0.038 55-59 $0.225
35-39 $0.048 60-64 $0.285
40-44 $0.060 65-69 $0.510
45-49 $0.085 70-74 $0.885

     

2018 - 26 Pay period/Biweekly Employee
Age Employee & Spouse Age Employee & Spouse
Under 30 $0.032 50-54 $0.115
30-34 $0.035 55-59 $0.208
35-39 $0.044 60-64 $0.263
40-44 $0.055 65-69 $0.471
45-49 $0.078 70-74 $0.817

 
Example:
If a 33-year employee selected Optional Life & AD&D coverage of 1 times annual salary which equaled $50,000, his/her cost per pay period would be $1.90.
.038 (the cost per pay period for one unit of $1,000 coverage) x 50 = $1.90
If the 33-year old employee selected Optional Life & AD&D coverage for a 33-year old spouse in the amount of $20,000, his/her cost per pay period would be $0.76.
.038 (the cost per pay period for two units of $1,000 coverage) x 20 = $0.76

Optional Term Life and AD&D Insurance for Dependent Children

  Average Amount $5,000 $10,000 $20,000
  Cost per Pay Period $0.22 $0.44 $0.88


Reduction in Basic and Optional Term Life and AD&D Volumes
Upon an enrolled individual's attainment in age as listed below, their current coverage will be reduced as follows:
Ages 70-74: 35%
Ages 75 and older: 50%

Conversion and Portability
All Basic and Optional Life coverages, for yourself and your dependents, may be available to be continued under the portability provision of our Plan or may be converted to a private individual policy under certain circumstances. Refer to the Certificate of Coverage.

Imputed Income
The IRS allows employees to receive employer-paid life insurance up to $50,000 tax-free. If your Basic Life Insurance amount is greater than $50,000, IRS regulations require a tax on "imputed income" for the premium cost of the coverage amount above $50,000. You are only taxed on the cost of the portion of insurance coverage over $50,000. Imputed income is usually a relatively small amount.  

Additional Documents: