Life and AD&D Insurance

Beneficiaries/Payment of Benefits

When you enroll for coverage, you will be asked to complete a form naming your beneficiary. You may name any person(s), trust, estate, or charity as your beneficiary. The beneficiary you elect for life insurance will be the same beneficiary for death benefits under your AD&D coverage. It is important to keep your beneficiary designation up to date.

You have the right to change your beneficiary at any time by making a written request (appropriate forms are available on the website and from your Employee Benefits Office). It is important to notify the School District’s Employee Benefits Office promptly of any beneficiary change.

If you choose more than one person as your beneficiary and do not specify how you would like your insurance to be shared among the beneficiaries, they will share equally.

If you do not choose a beneficiary, if you have not named a beneficiary, or the named beneficiary is not surviving at your death, any benefits due shall be paid to the first of the following classes to survive you: (1) your legal spouse; (2) your surviving children (including legally adopted children), in equal shares; (3) your surviving parents, in equal shares; (4) your surviving siblings, in equal shares; or, if none of the above, (5) your estate.

Payment of Your Benefits to Your Beneficiary
You may elect to have your life insurance paid to your beneficiary in installments rather than in a lump sum. Before you make this decision, you may want to discuss these alternatives with a financial advisor. Once you elect an installment option, the insurance company can only pay the benefits according to your instructions. Because your beneficiary’s needs may change, an option you choose in advance may not be appropriate when the insurance benefit is actually paid. If you do not choose an option in advance, your beneficiary may elect an option at the time benefits are paid.

As soon as the School District is notified of your death, your beneficiary will be contacted about the benefits available and what forms are needed to process the claim. A claim must be filed within 90 days after the end of the calendar year of your death. If a claim is already pending, contact the School District’s Employee Benefits Office for an explanation of the claim procedure.

We will not be liable for any payment we have made in good faith. If a beneficiary, in our opinion, cannot give a valid release (and no guardian has been appointed), we may pay the benefit to the person who has custody or is the main support of the beneficiary. Payment to a minor shall not exceed $1,000. If you have not named a beneficiary, or the named beneficiary is not surviving at your death, we may pay up to $2,500 of the benefit to the person(s) who, in our opinion, have incurred expenses in connection with your last illness, death or burial.