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Optional Contributory Group Life Insurance Program
A Benefit Offering for JRS Members


This optional Contributory Group Life Insurance program is separate from the Noncontributory Group life Insurance that judges currently have provided by the JRS. Under this optional program, JRS members name beneficiaries to receive the Contributory Group Life Insurance benefit they select (see Plan Description below). The beneficiaries can be the same as, or different from the beneficiaries designated under their Noncontributory Group Life Insurance coverage. The beneficiaries named under the Contributory Group Life Insurance would not change the Noncontributory Group Life Insurance beneficiary designations.

While the Division of Pensions and Benefits administers the contracts of this coverage, the day-to-day administration of the program falls to the Administrative Office of the Courts (AOC) and the Prudential Life Insurance, Co. What follows is a descriptive overview of the program only; the document, Judicial Retirement System Optional Contributory Group Life Insurance Program, provides additional information. For a prospectus of the program and to obtain pertinent forms, members should contact their Human Resource Office at AOC.

Plan Description

Offered under the provisions of Chapter 74, P.L. 2001, Prudential Insurance Company will underwrite and administer the program with assistance from the Administrative Office of the Courts (AOC) and Centralized Payroll. The Division of Pensions and Benefits is responsible for overseeing the program. The choices offered under the Optional Contributory Group Life Insurance Program are:
  1. Group Term Life Insurance (GTLI) equal to 1.5, 2, 3, 4, or 5 times a member's annual judicial salary; or

  2. Group Variable Universal Life (GVUL) insurance equal to 1.5, 2, 3, 4, or 5 times the member's annual judicial salary; or

  3. An after-tax investment option that comes with the GVUL insurance allowing a judge to direct funds (by check or payroll deduction) to any of sixteen variable investment options; or

  4. A $5000 dependent group term life insurance policy for the judge's spouse, civil union partner, or eligible same-sex domestic partner, and/or an eligible dependent child (or children) if the judge enrolls in either of the two insurance policies.
The Contributory Group Life Insurance program is mandatory for newly appointed judges under age 60 for the first year of membership. The member may choose to enroll in either the GTLI or GVUL. If a JRS member does not wish to continue enrollment after the first year, he or she may disenroll. The member who disenrolls may choose to enroll at a later date, but will be subject to providing evidence of good health.

Evidence of Good Health

If a judge enrolls in the Contributory Group Life Insurance program, he or she will not have to provide evidence of good health for insurance valued at 1.5 times base salary or for dependent coverage the member may select. A judge will have to provide evidence of good health under the following conditions:
  1. If the judge selects an insurance amount of 2, 3, 4, or 5 times annual salary; insurance for 1.5 times salary will go into effect without evidence of good health if the member is under age 60 and enrolling for the first time. The higher amounts of insurance go into effect after the member provides Prudential with evidence of good health.

  2. If the judge declines to enroll during the initial offering period but chooses to enroll later; or

  3. If the judge enrolls now and decides to decrease the level of insurance later.
If a member must provide evidence of good health, Prudential will contact the member directly, explain what is needed, and make the necessary arrangements.

Other Important Program Information

Rates

The premium rates shown by Prudential are guaranteed for three years beginning May 1, 2001. Thereafter, the rates will be experience-based and can be changed annually.

The insurance premium rate a judge pays will be based on his or her age as of the effective date of the program (May 1, 2001). Changes to member rates based on age will take effect on the anniversary date of the policy (actually, the first day of the pay period that includes May 1st).

Increases to a member's insurance based on an annual salary increase (due either to legislatively directed increases for all judges, appointment as an Assignment Judge, or elevation to a higher bench) will take effect at the same time as the rate changes due to age.

GVUL Rates

GTLI Rates

GTLI Dependent Rate

Increases in Coverage

The member may increase the level of coverage or add dependent coverage as often as he or she likes and may do so at any time. (The member will have to provide evidence of good health whenever there is a request to increase the level of insurance coverage or if dependent coverage is added). The member may also switch between GTLI and GVUL once a year.

Portability

The Group Variable Universal Life insurance is portable. That is, it can be continued after a judge retires or leaves the bench for any other reason.

The Group Term Life Insurance is not portable and will end when a judge retires or leaves the bench. GTLI may be converted to an individual whole life policy with Prudential without having to provide evidence of good health.

Tax Consequences

A judge's selection of insurance under this program will not increase his imputed income like the Noncontributory Program does. The particular structure of the program excludes it from Section 79 of the Internal Revenue Code, which governs imputed income for employer-provided benefits.

Group Variable Universal Life (GVUL)
Insurance Rates Effective May 1, 2001
(For Actively Serving Judges and Retirees)
Biweekly Rate per $1,000 of Coverage

Age Biweekly Age Biweekly Age Biweekly
Less than 25 $ 0.021 Age 74
$ 1.406
Age 88
$ 5.220
Ages 25 - 29 $ 0.025 Age 75
$ 1.561
Age 89
$ 5.641
Ages 30 - 34 $ 0.033 Age 76
$ 1.737
Age 90
$ 6.094
Ages 35 - 39 $ 0.037 Age 77
$ 1.932
Age 91
$ 6.571
Ages 40 - 44 $ 0.041 Age 78
$ 2.146
Age 92
$ 7.072
Ages 45 - 49 $ 0.061 Age 79
$ 2.379
Age 93
$ 7.599
Ages 50 - 54 $ 0.095 Age 80
$ 2.630
Age 94
$ 8.212
Ages 55 - 59 $ 0.177 Age 81
$ 2.899
Age 95
$ 8.883
Ages 60 - 64 $ 0.272 Age 82
$ 3.183
Age 96
$ 9.528
Ages 65 - 69 $ 0.522 Age 83
$ 3.483
Age 97
$ 10.216
Age 70 $ 0.934 Age 84
$ 3.795
Age 98
$ 10.962
Age 71 $ 1.036 Age 85
$ 4.120
Age 99
$ 11.763
Age 72 $ 1.147 Age 86
$ 4.466
 
 
Age 73 $ 1.269 Age 87
$ 4.831
 
 

 


Optional Group Term Life Insurance (GTLI)
Insurance Rates Effective May 1, 2001
for Actively Serving Judges
Biweekly Rate per $1,000 of Coverage

Age

Biweekly Cost of Insurance
per $1,000 of Coverage

Under 25
$ 0.019
Ages 25 - 29
$ 0.023
Ages 30 - 34
$ 0.030
Ages 35 - 39
$ 0.034
Ages 40 - 44
$ 0.038
Ages 45 - 49
$ 0.057
Ages 50 - 54
$ 0.088
Ages 55 - 59
$ 0.164
Ages 60 - 64
$ 0.252
Ages 65 - 69
$ 0.484

 


Optional Dependent Term Life Insurance
Spouse OR Civil Union Partner OR Eligible Same-sex Domestic Partner AND Children - Regardless of the Number of Children

Insured

Biweekly Cost of Insurance

Spouse OR Civil Union Partner OR Eligible Same-sex Domestic Partner AND All Children
$ 0.920

 

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Last Updated: February 26, 2007