Loyola University Chicago

Human Resources

Life Insurance

Loyola University Chicago provides employees with a basic life insurance program, and an option to purchase supplemental life insurance for employees, a spouse and/or dependent children.
  • This is one of our income protection benefits designed to help you build and protect financial security for you and your dependents
  • For your convenience, both the Life Conversion and Life Portability Request forms have been added to the Benefits sub-menu section located in the "Key Forms" (near the upper right area)
  • For more information about life insurance, please review the Benefits Booklet located in the upper right corner, within the Resources box
January 1, 2017

Loyola University Chicago automatically provides eligible faculty and staff with basic term life insurance equal to 1½ times your annual salary, with a maximum of the lessor of one and one-half times your annual salary or $500,000.
  • Loyola pays the entire cost of this coverage and the policies are currently administered through Reliance Standard. See below.

Imputed Income: There are some tax consequences to employees with employer-funded insurance coverage over $50,000.
  • As mandated by the IRS, coverage amounts in excess of $50,000 are subject to imputed income whereby the cost of the life insurance coverage in excess of $50,000 is subject to federal income and Social Security (FICA) taxes. The taxable amount is included in your W-2 and is calculated using an IRS age-based table.

January 1, 2017
  • Beginning January 1, 2017, please direct questions about life insurance to Reliance Standard

    • Customer Care Center at 800-351-7500 (8 a.m. - 7 p.m ET weekdays)
Please see the Benefits Booklet located in the Resources section (upper right) for additional information.
Employee: If you are benefits-eligible (University staff FTE .53 or higher; HSD Staff .50 FTE or higher), and interested in additional term life insurance coverage for yourself, you may purchase supplemental life insurance.
  • This coverage may be purchased in amounts equal to 1, 2, 3, 4, or 5 times your annual salary, up to a maximum of $500,000
  • The cost for this coverage is based on your age. The premium you pay for this coverage automatically changes when your salary or age changes
Spouse: If you are benefits-eligible, you may purchase life insurance coverage for your spouse if you elect employee supplemental life insurance for yourself. However, the maximum coverage for your spouse without Evidence of Insurability (EOI) is $25,000, only for a new hire.
  • Also, you may not purchase more life insurance on your spouse than you have purchased on yourself
Child: If you are benefits-eligible, you also may purchase a flat $5,000 plan that covers your unmarried dependent children from age six months until age 26. You may cover newborns and newly adopted children if you enroll them within 31 days after their arrival. The coverage amount for newborns through age six months is $1,000.
Evidence of Insurability (EOI) is the process by which an insurance carrier determines that an employee or spouse is insurable at or above a certain dollar amount by requiring proof of good health.
  • If employees are newly hired, they may elect supplemental life insurance up to 2x annual salary without an EOI, if they enroll within the first 31 days of employment. Any new election or increase to coverage made after a new hire enrollment period will require EOI
  • The Evidence of Insurability (EOI) form is located in the Benefits section found within the "Key Forms" box (upper right area)
Life insurance benefits are paid to the beneficiary on file when a life insurance claim is processed. You are automatically the beneficiary of any life insurance you choose for your spouse and children.
  • Beneficiaries can be updated online anytime during the year by visiting Employee Self-Service, located in the Resources section (upper right)
  • You are able to designate both a primary and secondary beneficiary for your own insurance plan
Life insurance ends on your last day worked. Dependent life insurance coverage terminates either when your coverage ends or when the individual ceases to be your eligible dependent.
  • For life insurance purposes only, an unmarried dependent child, who is eligible for life insurance benefits, is covered up to age 26. You may have portability options to continue your life insurance, provided you are not sick or injured

  • Portability permits a portion of your existing (group) coverage to be continued through the carrier after your University employment ends if you contact Reliance Standard within 31 days of your last day worked
Alternatively, you have the option to convert your group life insurance to an individual (permanent) whole life policy with the carrier, Reliance Standard. You must act within 31 days of your termination date to continue coverage under either option.
  • To obtain an application for either option, you may contact Reliance Standard. Please see below.
January 1, 2017
Beginning January 1, 2017, please direct life insurance continuation questions to Reliance Standard
  • Customer Care Center at 800-351-7500 (8 a.m. - 7 p.m ET weekdays)
 
Revised: 7/27/16, 12/16/16, 12/29/16, 12/31/16