As a result, the Group Insurance Board recently approved a reduction in premium rates for most age groups. Premium rates will decrease for basic and supplemental insurance in the 40 through 64 age category, and for additional insurance in all age categories. There is no change to spouse and dependent premiums. In addition to the premium rate reductions noted above, Life Insurance coverages and premiums are updated annually to reflect the individual employee's previous year's retirement earnings and age. The age used for premium calculation is the age attained by the employee on March 1, 1999.
Basic coverage is an employee's retirement earnings, rounded to the next highest thousand.
Supplemental coverage doubles the insurance amount of basic coverage. Additional coverage is either once, twice, or triple the amount of basic coverage, based on the number of additional coverages elected. When an active employee reaches age 70, Basic coverage continues at a reduced level without further premiums. Supplemental and Additional coverages cease. The employee may apply for Over Age 70 coverage.