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 accidental losses. Accidental Death and Dismemberment (AD&D) coverage generally pays for accidental loss of life, limbs, speech, hearing or sight, paralysis and more. 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.
*Guarantees are subject to the financial strength and claims-paying ability of the issuing insurance company.
**Withdrawals from a policy will reduce the cash value and death benefit.
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:
Basic Term Life is generally an employer-paid benefit that provides your beneficiaries with essential protection and a cost-effective financial safety net in their time of need.
Supplemental Term Life is generally an employee-paid benefit that offers you extra protection to fit your needs.
Dependent Term Life provides coverage for your spouse, civil union partner or domestic partner, and eligible children.
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.
Voluntary Retiree Life (VRL) offers you term life insurance with level premiums (subject to MetLife's ability to change rates under the policy).
VRL can help you:
The premiums for this coverage are based on your age at the time your coverage becomes effective, and are expected to remain level (subject to MetLife's ability to change rates under the policy).
You are eligible to apply for coverage within 60 days of your retirement as long as you retire before age 80 – and you can also enroll your spouse/ domestic partner at the same time for an amount equal to, greater than, or less than the amount you elect. Once approved, you can each be covered up to age 100.
At no additional cost, you can benefit from three additional features that are part of our MetLife AdvantagesSM suite of valuable services.
A combination of term and permanent life insurance may best suit your needs.Group Term Life is issued by Metropolitan Life Insurance Company, New York, NY 10166. Policy Form GPNP99.
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.
GVUL has a variety of unique features that can help you meet your needs today and in the years ahead. GVUL combines life insurance protection with tax-deferred investment options, that provide you the opportunity to:
- Invest additional dollars above the cost of insurance into
- variable investment portfolios
- an interest-bearing account with a guaranteed minimum interest rate*, or
- Benefit from earnings growth, generally tax-deferred, on your contributions.
- Supplement your 401(k) or other qualified savings plans.
- Access cash value before age 59½, generally without penalty or surrender charges. **
GUL insurance can provide you with affordable, guaranteed protection. You can build your policy's cash value by contributing additional dollars into a tax-deferred interest bearing account. With a fixed rate account that never drops below a certain minimum, you can focus on guaranteed protection*.
Additionally, Whole Life Insurance may be a great supplement to your employer-offered plan because it helps protect your loved ones should something happen to you for your entire life, not just while you're working.
Term Life Insurance is an excellent benefit to help protect your loved ones should something unexpected happen to you during your working years. Whole Life Insurance is an ideal complement to your group term life insurance and will help protect your loved ones today and, more importantly, tomorrow. Whether you're single, have a spouse/domestic partner, or a growing family, someone depends on you.
Purchasing Whole Life Insurance, offered through Texas Life Insurance Company, may be a great supplement to your employer-offered plan because it helps protect your loved ones should something happen to you for your entire life, not just while you're working. Whole Life Insurance is a policy that you own; it can never be cancelled, even if your health changes.2 Because you own it, you can take it with you when you change jobs or retire with no change in the premium. It helps ensure that short- and long-term financial obligations could be taken care of if something unforeseen should happen.
Almost 9 in 10 Americans view life insurance as a necessity; however, only 6 of 10 Americans say they actually own some sort of life insurance, with half of American households saying they needed more life insurance.3 It's important to take steps to make sure your family would be financially prepared if you were no longer there to handle expenses like:
- Mortgage or rent payments
- Insurance premiums
- Childcare/Education fees
- Aging parent costs
Whole Life Insurance from Texas Life coverage includes the following:
- Paid-up insurance at retirement means premiums are guaranteed to remain level until age 65 or for 20 years if the policy is purchased at age 46 or later. At that time, the policy becomes fully paid up and no further premiums are due.4
- Accelerated Death Benefit5 that pays 92% of death benefit, in most States, if an insured becomes terminally ill.
- Spouse/Domestic Partner, Dependent Children and Grandchildren coverage.6
- Convenient payroll deduction.
- Portable coverage enabling you to take it with you when you change jobs or retire.
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.
*Guarantees are subject to the financial strength and claims-paying ability of Metropolitan Life Insurance Company.
**In general, participants may withdraw cash value equal to premiums paid without tax consequences. However, if the funding of the 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 and loans reduce the death benefit and cash value, thereby diminishing the ability of the cash value to serve as a source of funding for cost of insurance charges, which increase as you age. Withdrawals are subject to an administrative fee of 2% of the amount withdrawn, not to exceed $25.
1 To the maturity age specified in the certificate. In some program designs, if the employer replaces MetLife GVUL/GUL with another group life insurance plan or otherwise terminates the MetLife group contract, employees' coverage may also be terminated, even after separation from employment or retirement.
Prospective purchasers should consider their investment time horizon, tax rates and the effect of any expense charges when evaluating the benefit of tax deferral.
2 Coverage can never be cancelled, as long as the insured pays the level premiums when due.
3 LIMRA, 2013 Insure Your Love Fact Sheet.
4 Applies to SOLUTIONS Series 121 plan only. Benefit reductions are applicable to SOLUTIONS Series 221 and 421 plans.
5 In most states, the Accelerated Death Benefit due to Terminal Illness Rider provides a death benefit of 92.6% (92% in CA, CT, DC, DE, FL, ND & SD) of the face amount less a $150 administration fee ($100 in Florida) in lieu of the policy death benefit. Conditions apply. Any outstanding loans will reduce the cash value and death benefit. (Policy form ULABR-11 or ICC11-ULABR-11.)
6Individual policies for spouses/domestic partners, dependent children and grandchildren are only available with the SOLUTIONS Series 121 plan. Coverage is not available in all states. In certain states, availability of an individual policy for spouses/domestic partners, dependent children and grandchildren is pending regulatory approval. Coverage and spouse/domestic partner eligibility may vary by state. Coverage not available for children and grandchildren in Washington. The employee does not have to apply for the spouse, children and grandchildren to apply for an individual policy.
Texas Life Whole Life Insurance is available through your MetLife representative and is underwritten by Texas Life Insurance Company, 900 Washington, Waco, Texas. Texas Life is not affiliated with Metropolitan Life Insurance Company or its affiliates. Like most life insurance policies, Texas Life policies contain certain exclusions, limitations, exceptions, reductions of benefits, waiting periods and terms for keeping them in force. Texas Life complies with all state laws regarding marriages, domestic and civil union partnerships, and legally recognized familial relationships. Please contact MetLife for more information.
15M156-C 1074 (TXLife)
Any discussion of taxes is for general informational purposes only and does not purport to be complete or cover every situation. MetLife, its agents and representatives may not give tax advice and this document should not be construed as such. Please seek advice based on your particular circumstances from a qualified tax advisor.
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 its stated goals or objectives. Cash value allocated to the variable investment options is subject to market fluctuations so that, when withdrawn or surrendered, it may be worth more or less than the amount of premiums paid.
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) is issued by Metropolitan Life Insurance Company (MLIC), New York, NY 10166, and distributed by MetLife Investors Distribution Company (MLIDC) (member FINRA). Securities, including variable products are distributed through MetLife Securities, Inc. (MSI) (member FINRA/SIPC), 1095 Avenue of the Americas, New York, NY 10036. MLIC, MLIDC and MSI are MetLife companies.
Group Universal Life (GUL) is issued by Metropolitan Life Insurance Company, New York, NY 10166.