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Boston Mutual Life Insurance Employee Life Option (ELO) Life Plus
GUARANTEED BENEFITS, LEVEL
PREMIUMS AND GREATER POLICY VALUES
The Employee Life Option
is more than just life insurance at an affordable price. It combines the
guaranteed premiums, coverage and values that have always been so attractive in
whole life insurance with the advantages of cash accumulation at current
interest rates. This policy is an endowment at 95 with coverage to age 95.
BASIC PLAN
Traditional whole life insurance provides cash value accumulation based on a
very low fixed interest rate. The ELO Basic Plan provides current interest rates
on your policy’s value. This means that along with guaranteed premiums and
guaranteed coverage, you may also benefit from competitive interest rates. ELO
is affordable and is available through the convenience of payroll deduction. The
Basic Plan is offered to eligible employees, their spouses, children and
grandchildren.
PAYOR WAIVER OF PREMIUM*
This benefit pays all the premiums on your policy, your spouse’s or
dependent’s
policy or policies in the event the payor (employee) becomes totally disabled
before age 60. The disability must last at least six consecutive months and meet
the definitions set forth in your policy.
ACCIDENTAL DEATH BENEFIT (ADB)
This option could double or even triple your ELO death benefit. This benefit
pays an additional amount equal to the basic coverage to the beneficiary if the
insured is killed accidentally. If accidental death occurs while the insured is
a passenger on a bus, plane, train or any other common carrier, this benefit
pays the accidental death benefit as above but will also pay an additional
benefit of the basic coverage (up to 100,000). This extra protection is
available at affordable rates. Any Basic Plan participant age 5 years through
age 60 is eligible for this benefit.
CHILDREN’S TERM BENEFIT (CTB)
For pennies a week, you can provide level term coverage for all your
unmarried, dependent children, age 15 days up to and including age 25. Future
children will be automatically covered upon the attainment of 15 days with no
increase in the premium. This benefit may be added to any policy issued to any
employee or spouse age 18-55. Coverages range from $1,000-$10,000 in unit
increments of $1,000.
The weekly cost is 11¢ per unit. One
premium covers all children. As many as 10 units of CTB are allowed regardless
of the parents’ ELO Basic Plan contribution. Any number of CTB units may be
split between an Employee’s and Spouse’s policies, not to exceed the 10 units.
If the insured parent dies, coverage on the children will continue without
further premium payments until each insured child’s 25th birthday.
Additionally, any insured child between the ages of 21-25 may purchase without
evidence of insurability a permanent policy up to the lesser of 5 times the
children’s benefit or $25,000.
AFFORDABLE, FLEXIBLE PROTECTION
You choose the amount of insurance or the amount of premium that best suits
your needs and budget. All eligible employees and their spouses through age 70
may purchase coverage under the Basic Plan. Weekly deductions range from
$2.00-$15.00 per week.
Insurance is also available for your spouse, unmarried dependent children and
grandchildren, even if you choose not to buy coverage on yourself.
POLICY VALUES*
As long as premiums
are paid, your ELO Basic Plan offers a guaranteed cash value that can grow over
the years. The cash value can be used to supplement retirement income, for
emergency cash, as an education fund or to provide a paid-up insurance benefit.
While this value can never be less than the guaranteed amount, ELO gives you the
advantage of potential cash values in excess of the guaranteed amount. The
current interest rate in effect when your policy is issued is guaranteed for the
first year. On each policy anniversary date, you will receive an annual
statement outlining your policy’s fund value and changes in the interest rate,
if any.
* The actual cash value may be decreased by loans or withdrawals.
CONSTANT COVERAGE
ELO participants are protected worldwide, 24 hours a day. Your policy is
owned by you and supplements any other insurance you may have.
BENEFITS YOU CAN KEEP
Once purchased, your ELO plan remains in force as long as premiums continue
to be paid; and your permanent plan premiums cannot be increased. If you change
jobs or retire, as long as you continue to pay premiums, your insurance will
remain in force without interruption. Boston Mutual will bill you at home and
you may choose from several payment options — annual, semi-annual, quarterly,
monthly coupon book or monthly automatic check plan.
ACCELERATED DEATH BENEFIT
This very important feature allows a portion of the policy’s death benefit
to be paid before the death of the insured. This benefit is a part of your
permanent life insurance policy and is made available at no extra cost. With
certification from a licensed physician that the insured because of any illness
has a life expectancy of no more than 12 months, the policy owner may request
the early distribution of a portion of the policy’s permanent face amount.
Distribution of the requested face
amount (minimum $10,000, maximum $50,000) will be paid in a lump sum or in six
equal installments. The proceeds will be discounted at the current interest
rate. Accelerated benefit payments may be taxable. Consult your tax advisor for
specific advice.
QUESTIONS AND ANSWERS
CAN I BUY THIS PLAN ON MY OWN?
No! This plan is available only to employees of companies that sponsor the
ELO plan as an employee benefit. Because your employer has chosen to offer ELO,
you receive the advantages of more liberal underwriting and the convenience of
payroll deduction. All of this results in savings that reduce the cost of the
policies.
DOES THIS POLICY REPLACE MY PRESENT GROUP INSURANCE?
No! ELO coverage is independent of and supplements your present group
insurance program.
IF I LEAVE MY EMPLOYER WHAT HAPPENS TO MY ELO PLAN?
You can take the ELO plan with you when you leave with no change in cost or
benefits. We will bill you at home.
WHAT HAPPENS IF I CAN’T PAY MY PREMIUM AS A RESULT OF A LEAVE OF ABSENCE OR
TERMINATION FROM MY EMPLOYER?
Your policy includes the “Automatic Premium Loan” provision which will be
used to pay your premium at the end of your grace period, provided you have
accumulated cash value.
WHAT OPTIONS DOES MY ELO POLICY PROVIDE AT RETIREMENT?
Depending on how long your policy has been in force, you have the following
options: (1) continue your premium payments and fund accumulation; (2) choose a
paid-up policy; (3) opt for a paid-up policy accompanied by a one-time payment
of excess funds; (4) purchase a paid-up policy; or (5) decide to turn your
policy in for its accumulated cash value.
CAN I INCREASE MY COVERAGE IN THE FUTURE?
You may apply for additional coverage in the future subject to the ELO
underwriting
guidelines.
CAN I TAKE A LOAN ON MY POLICY?
Yes. You may borrow all or part of your fund value at just 8% fixed
interest.
DOES THE ELO COVERAGE HAVE A SURRENDER CHARGE?
If you discontinue your plan before the 16th policy year there will be a
surrender charge. The amount of this charge decreases every year. No charge is
made if you decide to terminate your coverage after it has been in force for at
least 15 years.
WILL ELO BENEFITS BE PAID FOR SUICIDE?
If suicide occurs during the first 2 years your policy is in effect,
benefits will not be paid, but any premiums paid will be refunded. After 2
years, benefits will be paid if death is caused by suicide.
CONSIDER....
IF YOU HAVE A FAMILY
The ELO plan enables you to build a cash reserve for yourself, your spouse
and
your children for less than 1 hour’s pay per week. It is a sound way to protect
your family without exceeding your present budget.
IF YOU’RE SINGLE WITH NO DEPENDENTS
For a single working person insurance is the foundation for future financial
planning. The longer you wait to buy insurance the more expensive it will be.
The
flexibility of the ELO plan enables you to expand your coverage to meet any
future
responsibilities.
IF YOU ARE OLDER AND NEARING RETIREMENT
A lot of obligations and responsibilities have probably come and gone in the
past few years. Now you can think about your future. Your ELO plan can be
continued after retirement.
No matter where you are in your life and career, you will benefit from ELO
— Life Insurance that Works for Life.
