Learn more about Highlights, Eligibility, Plan Details, and Coverage Limits and Rates.
FREQUENTLY ASKED QUESTIONS
When is the best time to buy life insurance?
The best time is now, for two good reasons.
Life insurance rates are based on your age. It may never be less expensive for you than it is right now.
The other important life insurance rating factor is your health. Right now, you may not have any health problems. As you get older, if you develop a health condition it could make you uninsurable.
Why are these rates so economical?
What you are seeing is the advantage of group insurance rates as compared to the individual insurance rates you would find on the open market.
As an individual you have little buying power. As a member of the AIChE, the group’s 40,000 members have substantial buying power in negotiating competitive rates from respected carriers such as New York Life.
How much life insurance coverage can I request?
As an AIChE member, you can select from $10,000 to $1,000,000 of life insurance protection. Your spouse may be insured from $10,000 to $1,000,000, not to exceed 100% of the member's coverage. Coverage for both member and spouse are available in options of $10,000.
Each eligible dependent child may be insured for $10,000.
Note: The total amount of coverage an individual may request under all group life insurance plans underwritten by New York Life Insurance Company cannot exceed $2,000,0000. A child may not be insured for more than one $10,000 benefit under all policies issued by New York Life Insurance Company to the Trustee of the AIChE Insurance Trust.
Who is eligible for the Group Term Life Insurance plan?
All AIChE members under age 70, their lawful spouses under age 70, and all unmarried dependent children through 24 years of age.
The member must be a resident of the U.S. (currently not available in TN) or Puerto Rico.
In order to become insured, satisfactory evidence of insurability must be provided and the required premium must be paid.
A spouse or dependent child who is also an AIChE member is eligible for either member or dependent coverage, but not both. If both member and spouse are covered as members, neither may insure the other as spouse and only one may insure any eligible children.
Non-dependent family members may also apply for coverage if they join the AIChE as an associate member. For membership information, visit the AIChE home page or call the AIChE insurance program administrator at 1-800-982-4243.
How do I apply?
You can apply using either of two methods: (1) you can receive a rate quote and apply online or (2) you can download an application that you can complete and return to the program administrator by mail to:
AIChE Insurance Program Administrator
159 E. County Line Road
Hatboro, PA 19040
Residents of Puerto Rico please send your completed application to:
Global Insurance Agency, Inc.
P.O. Box 9023918
San Juan, PR 00902-3918
What should I consider in naming life insurance beneficiaries?
You may select any person, persons, trust or other legal entity as your beneficiary. If, at the time of your death, there are no surviving beneficiaries, benefits will be paid to the executor or administrator of your estate, or at the option of New York Life, to the surviving relatives in the following order of survival: spouse; children equally; parents equally; or brothers and sisters equally. You are the automatic beneficiary for dependent coverage. Beneficiary's can be changed at any time by contacting the program administrator for the appropriate form.
If you are unsure of what wording to use, please don’t hesitate to call the program administrator at 1-800-982-4243 for assistance.
Are there any discounts to help lower my rate?
Three discounts may be available:
Volume Discounts
As the face amount of requested coverage goes up, the rates per $10,000 option of insurance go down. If you select between $10,000 to $290,000 you pay the base rates. Select from $300,000 through $540,000, you'll receive a discounted rate. For benefit amounts of $550,000 through $1,000,000, you receive an even lower rate per $10,000 of coverage.
Premium Credit
Based on favorable financial performance of the Group Term Life Insurance plan, there is an opportunity to receive premium credits. Though not guaranteed, the AIChE Group Term Life plan has generated credits each year since 1971. Once granted, premium credits are not paid in cash, they are available as a credit on your premium due. When given, they can help lower the cost of your renewal premium. These premium credits are applied only to active coverage and will not be made if coverage is terminated. A 20% premium credit is in effect through October 31, 2011,
Non-Tobacco/Nicotine Use Discount
During the past 12 months if you and/or your spouse have not used tobacco or nicotine in any form–including nicotine patches and nicotine chewing gum, you may qualify for non-smoker rates that will reduce your premium payments even further.
What is the difference between term life and permanent life insurance?
Term life is pure insurance. Your premiums go to provide life insurance protection only.
Permanent life is life insurance plus a savings component. A portion of your premium goes to purchase life insurance and a portion goes into a side fund that accumulates at a low rate of interest. Consequently permanent insurance can be more expensive.
Can I increase or decrease the coverage amount on my AIChE term life insurance?
After your AIChE certificate of insurance is issued, the coverage amount can be reduced at any time. However, to increase coverage you will have to complete a new application subject to eligibility requirements and submission of satisfactory evidence of insurability.
How does the Living Benefit option work?
The Living Benefit or ‘Accelerated Death Benefit’ option is available to help terminally ill insureds during a difficult and often financially challenging time. Under this provision you may request one advance payment equal to 50% of a qualified terminally ill person’s in force life insurance to be paid while that person is still alive.
This money can be used to help cover medical bills, experimental drugs, debts, modifications to your home or for a family vacation—how the proceeds are spent is entirely up to you.
To qualify, a terminally ill insured must provide the New York Life Insurance Company with proof of terminal illness and anticipated life expectancy (12 months or less), as well as any other necessary medical information requested.
A life insurance benefit will still be payable after the insured’s death, though it will be reduced by the Living Benefit payment. (Premium contributions will not be reduced.)
Please note that receipt of Living Benefits may affect your eligibility for public assistance programs and may be taxable. Prior to applying to receive such benefits, you should consult with the appropriate social services agency and seek the advice of a qualified tax advisor.
Note: Not available to residents of Massachusetts.
What is Dependent Child coverage and how do I add it?
Dependent Child coverage provides $10,000 of term life insurance coverage for all dependent children in your household. Children can be covered through age 24.
The annual charge for Dependent Child(ren) coverage is $8.20. You pay this one rate regardless of how many children you have.
If you are currently insured and you would like to add this coverage, please contact the administrator requesting that dependent child coverage be added to your certificate. Or, if you are a new applicant, you can request coverage by checking the appropriate box on the application.
What happens if I fail to make the required premium payments?
If you miss a premium billing date, you have a 31-day grace period during which you can still make your payment.
If you fail to pay your premium within the grace period, coverage will terminate. To reinstate your coverage will require a new application, new medical underwriting, along with a new two-year contestability period.
A way to help ensure your term life plan does not cancel is to use the Electronic Funds Transfer (EFT) payment option. Payments are automatically deducted from your bank account on a monthly, quarterly, semiannual or annual basis thereby helping to avoid a potential lapse in coverage.
Does a life insurance salesman have to come to my home?
No. You can review the materials on this web site and either apply online or print an application and mail it to the plan administrator without meeting with a sales representative.
If you would like, you can talk to a licensed representative over the phone by calling the program administrator toll free at 800-982-4243.
When will my coverage become effective?
You and your eligible dependents will become insured on the date specified by New York Life Insurance Company provided:
- the first premium contribution has been paid,
- satisfactory evidence of insurability has been submitted,
- you and your dependents are performing the normal activities of a person of good health and like age on that date.
Coverage for any person who is not performing his or her normal activities on the date coverage would otherwise become effective, will not become effective until the date he or she is performing such activities and the person is still eligible for insurance.
Payment of a premium contribution for insurance with your application does not mean there is any coverage in force before the effective date as specified by New York Life Insurance Company.
Note: Residents of MD and NC: Any reference to “performing normal activities” is replaced by the requirement that the health status of any proposed insured person remain the same as stated in your application.
When does coverage end?
Your member coverage will cease at the earliest of the following dates:
- you reach age 100,
- the premiums are not paid when due,
- your AIChE membership ceases,
- the group plan is terminated or modified by the policyholder or New York Life Insurance Company to end coverage for the group of insureds to which you belong,
- you request to terminate the coverage.
Your dependent coverage will terminate when your coverage terminates, or earlier if:
- the termination age is reached – age 100 for spouse, age 25 for child,
- the spouse ceases to be your lawful spouse,
- your child ceases to be your unmarried, dependent child.
Upon payment of the life insurance claim for the member, coverage for your spouse and dependent children may continue as described in the certificate of insurance.
Does this life insurance have any exclusions?
No. Benefits will be paid for death from any cause, at anytime, anywhere in the world.
Life insurance has a two-year contestability period during which the insurance company may contest claims if they discover any misrepresentation on the part of the insured. For example, if someone was dying of cancer and failed to mention it on the application.
After coverage has been in force for two years, a life insurance claim cannot be contested except for eligibility and non-payment of premium contributions.
What if I have second thoughts after I apply?
When you become insured, you will be sent a certificate of insurance summarizing your benefits under the plan. If you are not completely satisfied with the terms of your certificate you may return it, without claim, within 30 days. Your coverage will be invalidated and you will be sent a full refund, without the need to explain your action.
Who is the plan underwriter?
This Plan is underwritten by New York Life Insurance Company, under Group Policy No. G-11082-0, on Policy Form G-11082-0/GMR-FACE.