Group Life Insurance

Overview

Life insurance can provide years of income to your loved ones in an affordable way.

In the event of your passing, life insurance is a guaranteed promise to pay money directly to your beneficiaries. In addition to covering your family’s daily expenses, life insurance can help your beneficiaries:

• Maintain their standard of living
• Pay off any household debt
• Secure your children’s education
• Supplement retirement savings

Life insurance essentially comes in two types: Term Life Insurance and Permanent Life Insurance.

If you want life insurance for a set period of time — long enough to meet your anticipated responsibilities to those who depend on you — Term Life Insurance may be right for you.

If you are looking for flexibility and lifetime coverage, some form of Permanent Life Insurance may make sense. Permanent Life Insurance also offers access to a cash value component which can be put to good use during your lifetime.

Often employers make additional insurance protection available for certain covered events or accidents. Accidental Death and Dismemberment (AD&D) coverage generally pays for a covered accident that results in loss of life, speech, hearing or sight, or in paralysis. It can be available as a low-cost part of your company-paid basic coverage, an employee-paid coverage, or both.

AD&D coverage is provided under a group insurance policy (Policy Form GPNP99) issued by Metropolitan Life Insurance Company, New York, NY 10166.

Term Life

Term Life Insurance provides a cost-effective solution for your life insurance needs, often with level premiums for a set period of time, and gives you the flexibility to change your coverage as your needs evolve. Your options range from Basic to Supplemental Term Life. In some instances, you may obtain coverage for your dependents.

Common types of insurance at the workplace include:

You should consider Term Life Insurance if you want:

• An affordable way to get financial protection.
• A means to provide funds for specific financial responsibilities like a mortgage or college expenses.

Some things to keep in mind about Term Life Insurance:

• It does not build cash value like a permanent life policy does.
• It may be portable so you can take it with you if you leave your company.
• If it’s not portable, you will have the option to convert your group policy to an individual policy.

A combination of term and permanent life insurance may best suit your needs.

Permanent Life

Permanent Life Insurance offers protection for your entire lifetime¹ with the ability to build cash value to help you achieve your financial goals.

Two types of plans are commonly available at the workplace: Group Variable Universal Life (GVUL) with a number of investment options; and Group Universal Life (GUL) with a fixed savings component.

You should consider Permanent Life Insurance if you want:

• Lifetime coverage.
• Income protection with an additional tax-advantaged investment opportunity you can tap into during your lifetime.
• Flexible funding options.

Some things to keep in mind about Permanent Life Insurance:

• Current Cost – As a general rule of thumb, Permanent Life Insurance tends to be more expensive than Term Life coverage.
• Flexibility if You Leave Your Employer – You can typically take your coverage with you, should you leave your employer.
• Tax-Deferred Investment Opportunity – In addition to your premium, you have the option to contribute more money to your coverage, providing you with a tax-deferred growth opportunity.

¹ MetLife GVUL provides coverage up to age 95.

Prospective purchasers should consider their investment time horizon, tax rates and the effect of any expense charges when evaluating the benefit of tax deferral.

*Guarantees are subject to the financial strength and claims-paying ability of Metropolitan Life Insurance Company.

**In general, if the funding of your certificate exceeds certain limits, it will become a "modified endowment contract" (MEC) and become subject to "earnings first" taxation on withdrawals and loans. An additional 10% penalty for withdrawals and loans taken before age 59½ will also generally apply. We will notify you if a contribution would cause your certificate to become a MEC. Withdrawals will reduce your cash value and death benefit.

Pursuant to IRS Circular 230, MetLife is providing you with the following notification:
The information contained in this brochure is not intended to (and cannot) be used by anyone to avoid IRS penalties. This brochure supports the promotion and marketing of GVUL. You should seek advice based on your particular circumstances from an independent tax advisor.

MetLife, its agents, and representatives may not give legal or tax advice. Any discussion of taxes herein or related to this document is for general information purposes only and does not purport to be complete or cover every situation. Tax law is subject to interpretation and legislative change. Tax results and the appropriateness of any product for any specific taxpayer may vary depending on the facts and circumstances. You should consult with and rely on your own independent legal and tax advisors regarding your particular set of facts and circumstances.

Prospectuses for Group Variable Universal Life insurance and its underlying portfolios can be obtained by calling (800) 756-0124. You should carefully consider the information in the prospectuses about the contract’s features, risks, charges and expenses, and the investment objectives, risks and policies of the underlying portfolios, as well as other information about the underlying funding choices. Please read the prospectuses and consider this information carefully before investing. Product availability and features may vary by state. All product guarantees are subject to the financial strength and claims-paying ability of Metropolitan Life Insurance Company.

There is no guarantee that any of the variable options in this product will meet their stated goals or objectives. The account value is subject to market fluctuations so that, when withdrawn, it may be worth more or less than its original value.

Like most insurance contracts, MetLife’s contracts contain terms for keeping them in force. Please contact MetLife for costs and complete details.

Group Variable Universal Life insurance (GVUL) issued by Metropolitan Life Insurance Company (MLIC), New York, NY 10166, and distributed by MetLife Investors Distribution Company (MLIDC) (member FINRA), Irvine, CA 92614. Securities, including variable products, offered through MetLife Securities, Inc. (MSI) (member FINRA/SIPC), 1095 Avenue of the Americas, New York, NY 10036. MLIC, MLIDC and MSI are MetLife companies. MetLife’s standard GVUL certificate forms, available on or after 5/1/09 include: Certificate Forms G.24300(2003); G.24300A(2003); NY-G.24300-STOCK and G.24300A-STOCK. Coverage may also be provided on MetLife’s previous standard Policy Forms 30037(6/96); FL-3003709(5/2005); IN-3003713(6/96); MA-3003720(6/96); MD-3003719(6/96); MN-3003722(6/96); MS-3003723(5/2005); NE-3003726(6/96); NY-3003731(5/2005); OK 3003735(6/96); OR-3003736(5/2005); PA- 3003737(6/96); SC-3003739(6/96); SD- 3003740(6/96); and TX-3003772(5/2005).

Group Universal Life (GUL) is issued by Metropolitan Life Insurance Company, New York, NY 10166.  MetLife's standard Certificate Forms include:  Certificate Forms G.9704(2009); G.9704A(2009).  Coverage may also be provided on MetLife's previous standard Policy Forms 30024 (1/95); DE-3002407 (2/2008); FL-3002409 (5/2005); IN-3002413 (1/95); KS-3002415 (1/95); LA-3002417 (2/2008); MN-3002422 (1/95); MS-3002423 (5/2005); NY-3002431 (5/2005); OK-3002435 (1/95); OR-3002436 (2/2008); PA-3002437 (1/95); SD-3002440 (1/95); TX-3002472 (5/2005).

Ten Tips

Ten Tips On Life Insurance

No one knows what the future may hold, but you can do your best to prepare, starting with the Straight Story on Life Insurance. These Ten Tips provide straight answers to frequent questions about life insurance.

1. If you have dependents — you need it

If you have children or people who depend on the money you earn, you need life insurance. Its primary purpose is to protect your income. Life insurance helps those you care about keep on living as they would if you were still earning a paycheck.

2. Life Insurance helps replace your paycheck if you aren’t there to earn it

It is commonly accepted among financial professionals that 60% of annual income times years to retirement gives you a reasonable estimate of the amount of life insurance to buy. It takes your salary, assumes some normal raises over time, and adds the value of your employee benefits, like healthcare. Then it subtracts the effect of taxes, and what it costs your family to have you around.

3. Some life insurance is better than no life insurance

Some life insurance is better than no life insurance. A good starting place is coverage that equals outstanding debt (including mortgage, car payments and student loans) + 5 years of annual salary. Use the average American salary, $40,000, to represent your income in the estimate above if you’re a stay-at-home parent or currently in-between jobs.

4. Life insurance is less expensive than you think

Many people think life insurance is much more expensive than it is. In fact, many people can get term coverage from a quality company for a surprisingly low price.  Life insurance does get more expensive as you get older. It makes sense to buy as much as you need while you’re young and healthy.

5. Life insurance is a smart financial move

To get the amount of coverage we recommend, you can expect to pay about 1% of your annual salary on the annual cost of term life insurance. (Spending 1% of your income to protect years of income is a pretty good deal.)

6. Make sure you know how much life insurance you get at work

Many people assume they have more coverage at work than they really do. We recommend that people look carefully at the amount of coverage they get, then buy additional life insurance, either through their benefits plans at work or on their own, to make sure they have the right amount of coverage for their unique needs.

7. Life insurance needs change over time

Life insurance needs change over time, because of things like new family members, a new job, a move, or even a raise at work. Review your protection every year during the benefits enrollment period at work or when you receive your Social Security statement in the mail.

8. Term Insurance is an easy and inexpensive way to get started

Term life insurance offers more coverage for less money. It is an easy and cost-effective way to get protection in the short run. Because term insurance runs out at the end of the term, use it to protect needs that you can anticipate—like paying off a mortgage or funding college for your children.

On the other hand, permanent life insurance can also be an important part of your lifetime financial plan. It’s flexible, and can help you meet a number of important goals, including protecting your income, building equity, providing an additional source of retirement income, and leaving a financial legacy for your loved ones. You can supplement retirement income by taking loans or withdrawals from accumulated cash value (although the policy’s cash value and death benefit are reduced by the amount taken, plus any loan interest charged).

9. The financial strength and reputation of the company you buy it from matters

When choosing a life insurance company, the financial strength and reputation of the company you select is the key consideration, to ensure guarantees¹ are kept. Ask around, and do some research before you buy. (Publicly-traded life insurance companies are required report on their financial condition 4 times a year.)

10. There is no substitute for good advice

The more you know about life insurance basics, the more control you have over deciding what’s right for you. To get the right answers, some people prefer talking to a trained financial professional, while others favor doing research online or in the press. Whatever way works best for you, taking action to protect your family with the right amount of life insurance coverage is an important part of your lifetime financial plan.

Many people recognize the need for life insurance, but they don’t take the next step because they feel they don’t have a safe, pressure-free place to start. Start here. No one will call you, unless you ask. And you can always call on us.

¹ Guarantees apply to certain insurance and annuity products (not securities, variable or investment advisory products) and are subject to the insurer's claims-paying ability and financial strength. Insurance quotes are estimates based on information that you supply, not firm quotes or offers. Your actual premium will be based on complete underwriting and may differ from these quotes. Insurance coverage may not begin until underwriting approval, the policy has been issued, and all necessary outstanding requirements including payment have been received.

Like most insurance policies, MetLife policies contain exclusions, limitations, reduction of benefits and terms for keeping them in force. Your representative can provide you with costs and complete details.