Term Life and Accidental Death and Dismemberment Plan

The Term Life and Accidental Death and Dismemberment Plan provides financial protection and support to members when they need it most. You can provide this coverage as part of your benefit offerings at a lesser cost than your employees could secure on their own.

You can provide Term Life and Accidental Death and Dismemberment coverage in one of two ways:

• a fixed amount of coverage in $5,000 increments from $5,000 to $50,000, or
  
• an income-based benefit amount of one or two times the employee’s effective salary, rounded to the next higher one thousand dollars, up to $200,000
  

Here's why the Term Life and Accidental Death and Dismemberment Plan may be right for you and your employees:

• Rates are not based on age.
  
• There are no separate smoker rates.
• No evidence of insurability is required.
• You can offer this coverage as a tax-free benefit to employees, up to the IRS limit of $50,000.

Coverage details

• If a member dies, a lump-sum term life benefit equal to 100% of the coverage amount is paid to the member’s designated beneficiary or eligible survivors.
• Accidental death and dismemberment (AD&D) benefits are payable in cases where death or certain injuries, such as the loss of a limb, sight, or hearing, occur as a result of an accident. Accidental death benefits are payable in addition to term life benefits.
• The accidental death benefit equals 100% of the coverage amount. For other covered losses, the AD&D benefit equals from 25% to 100% of the coverage amount, depending on the injury.
• If multiple injuries occur from the same accident, the AD&D benefit is capped at 100% of the coverage amount.
• If a member dies as a result of a covered accident, a children’s education benefit of up to $10,000 a year is paid to each eligible child under the age of 25 for up to a total of four years of study beyond high school after the member’s accidental death.
  

For even greater security and peace of mind, you can offer supplemental death benefits to employees enrolled in the Term Life and Accidental Death and Dismemberment Plan.

Eligibility

You can provide term life and accidental death and dismemberment coverage to employees regularly scheduled to work at least 20 hours per week as long as they are not enrolled in the Death and Disability Plan, including through a dues package.

Cost

The Term Life and Accidental Death and Dismemberment Plan is 100% employer-paid. Your cost is 20 cents per month per $1,000 of coverage for each covered employee.

Coverage level	Cost per month per employee
$5,000	$1.00
$10,000	$2.00
$15,000	$3.00
$20,000	$4.00
$25,000	$5.00
$50,000	$10.00

Questions about the Term Life and Accidental Death and Dismemberment Plan?

Employers who currently offer benefits through the Board of Pensions can call 800-PRESPLAN (800-773-7752) (TTY: 711) to speak with an Employer Services representative. They can answer questions about benefits and offer support on administering benefits through Benefits Connect.

PC(USA) employers and congregations are encouraged to reach out to their Church Consultant to help determine which dues package is right for their situation, understand available benefits for staff and how to structure them, and guide faithful benefits decision‑making.