Monroe Township School District

Health Benefits: Life Insurance

Contributory Group Life Insurance (PERS and TPAF only) 

Contributory Group Life Insurance is underwritten by the Prudential Insurance Company of America, Inc., and is insurance for which the member pays a premium through payroll deductions. The appropriate Board of Trustees is the official policyholder for the Contributory Group      Life Insurance for its system. 

The policy number for the PERS Contributory Group Life Insurance is       G-13900; for the TPAF it is G-14300. The law requires that a retirement system member must be covered by contributory insurance for the first 12 months of membership. After the 12 months have elapsed, the member may withdraw from this coverage by filing the proper form. Once the member withdraws from the Contributory Group Life Insurance coverage,   it cannot be reinstated, nor can contributions that were made prior to the withdrawal be refunded.

The cost of the Contributory Group Life Insurance, which is set by the appropriate Board of Trustees, is:

The deduction from salary for a PERS/TPAF member's Contributory Group Life Insurance is made after taxes have been deducted.

The benefit value of the Contributory Group Life Insurance is shown in the chart below.

* The definition of "salary" is the total base salary upon which pension contributions were based during the last 12 months (10 months of service for 10 month employees) preceding the death of the member during active service. 

For TPAF, if the final twelve months (10 months for employees working on a 10-month contract) are not the highest contractually paid salary received, use the highest contractual salary. 

If death occurs within the first year of enrollment, the amount of Contributory Insurance is based on the full annual base salary.

Enrolling in Group Life Insurance

Enrollment in group life insurance is accomplished through completion of the pension enrollment application, and coverage is effective beginning on the date of pension membership. 

The pension enrollment application contains a section in which members name beneficiaries for both group life insurance benefits and the return of pension contributions. The member may name any person, organization, estate or trust as beneficiary. This designation may be changed  at any time during membership by filing the Designation of Beneficiary form, or by completing the MBOS Designation of Beneficiary online (Members wishing to register for MBOS, click here). At retirement, the member will be asked to nominate beneficiaries on the Application for Retirement Allowance (Also see the Retirements section of this manual).

After the member's enrollment in the pension system has been accomplished, life insurance information is passed to Prudential Insurance Company, the administrator of the Division's group life insurance policies. The Division of Pensions and Benefits will send the member a certificate of insurance or insurance rider that gives the group policy number of the coverage, the member's name, location number, membership number, effective date of insurance, and beneficiaries of record. This certificate is an important document and should be safeguarded by the member.