August 2001 Trust Talk

Life Insurance

All members covered by supplemental and/or basic life insurance will receive information regarding updates to their coverage levels (if applicable). For instance, if you increased your supplemental life coverage level during spring open enrollment, this change would generate an update to you from Prudential.

Basic Life Insurance

New Basic Life Booklets and Certificates from Prudential
In late August or early September, all members with a year or more of State service will receive updated certificates and updated booklets from Prudential (probably in the same package). The new certificates recognize that members’ earnings increased July 1, 2001, per contractual obligations. The new booklet will correct some inconsistencies that existed in previous drafts. You already have life plan booklets from the Trust that contain correct information if you have questions regarding your basic life insurance coverage.

Members with less than one year of State service will receive a booklet and a certificate when they become eligible for basic life insurance coverage (usually a few months after their one-year anniversary of continuous State service).

Supplemental Life Insurance

A Few Problems with Supplemental Life Insurance Enrollment
During this year’s open enrollment, most supplemental life insurance changes and enrollments were handled correctly with coverage and deductions beginning July 1. These members will be receiving a booklet-certificate from Prudential soon.

In some cases, deductions and coverage will begin August 1 or September 1 due to late receipt of the supplemental life form by Prudential. Typically coverage for supplemental life insurance begins the first of the month following the first deduction. These members’ receipt of the booklet-certificate from Prudential also will be delayed.

This year, however, a few members will find coverage beginning October 1, or not at all. While well intentioned, a few worksites accepted members’ forms rather than telling members to mail their forms directly to Prudential. The worksites then failed to mail the forms to Prudential in a timely fashion. The Trust’s contract with Prudential states that:
• One open enrollment will be held per year within limited dates and
• All forms must be mailed to Prudential and be postmarked by the end date of open enrollment.

The Trust has been working with Prudential to get as many late forms accepted as possible. Exceptions have been made on a case-by-case basis. No more 2001 forms can be accepted. Some members who did not follow directions to mail their forms to Prudential must reapply during 2002 open enrollment and wait until summer 2002 to start coverage. To check the status of an application or verify coverage start date, contact Prudential at 800-778-3827.

An Important Note:

Trust Talk contains only highlights of your benefits and is not a plan document. See the official plan documents for full plan details or if a discrepancy exists between this newsletter and the plan documents; the plan documents are always the final authority.