Life Insurance
Life insurance pays a pre-determined amount to your beneficiaries in the event of your death. The life insurance available through USC is term life insurance, which means you have the insurance during the time that premiums are paid. USC pays for a basic amount of life insurance with Prudential Life Insurance Company and you may purchase additional insurance for both yourself and your eligible dependents. The life insurance includes a pre-death benefit, which means that terminally ill participants can receive a portion of the value of the policy.
Who's eligible?
- Full-time and part-time staff
- Full-time faculty
- Part-time faculty (50–99% appointment)
- Eligible employees must be actively at work to purchase supplemental life insurance.
Cost
USC pays the entire cost of basic term life insurance equal to your annual base pay, up to a maximum of $50,000. The cost of supplemental insurance is based on your age and other underwriting criteria, as well as the amount of additional coverage you choose. Coverage for all dependents (at least 14 days old) is available for a flat rate. See the charts at right for current rates and available coverage.
Participants (under the age of 60) who become totally disabled for at least nine consecutive months may file a claim with Prudential to have life insurance premiums waived during their disability. The participant must file the premium waiver claim during the first 12 months of his or her disability. Obtain the waiver claim form from your benefits office.
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Supplemental Life Insurance Rates for Employee
Can be purchased in multiples of your regular annual pay—1x, 2x, 3x, 4x, 5x |
| Your Age |
Rate per month per $1,000 (Payroll deduction; after-tax dollars) |
| Under 25 | $0.035 |
| 25-29 | $0.039 |
| 30-34 | $0.050 |
| 35-39 | $0.061 |
| 40-44 | $0.077 |
| 45-49 | $0.129 |
| 50-54 | $0.197 |
| 55-59 | $0.368 |
| 60-64 | $0.564 |
| 65-69 | $0.941 |
| Over 70 | $1.155 |
| Maximum amount is five times annual salary up to $2.5 million. Amounts over $750,000 require underwriting review. Coverage is reduced to 65% at age 65 and 50% at age 70. |
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| Life Insurance Rates for Dependents |
| Amount |
Rate per month (Payroll deduction; after-tax dollars) |
| $ 5,000 |
$.92 |
| $10,000 |
$2.07 |
| $20,000 |
$4.24 |
| $50,000* |
$11.00 |
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Insurance coverage for children from 14 days to six months is limited to $500. If both parents are USC benefits-eligible employees, a child may be covered as a dependent by only one parent.
*Proof of insurability is required for your spouse or registered domestic partner. |
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What do I need to do?
For the basic term life insurance provided by USC, you must designate your beneficiary and keep that designation up-to-date. Forms are available online or from your benefits office. Sign up for additional coverage within 60 days of employment and the additional insurance will not be subject to Prudential review and approval.
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| Enroll |
Coverage starts |
Change or cancel |
| Within 60 days of hire |
USC-paid coverage begins on first day of employment; employee-purchased coverage begins the first of the month after enrollment |
Anytime. Prudential approval required for additional coverage for employee or spouse or registered domestic partner |
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When can I make changes?
Additional life insurance for yourself and your spouse or registered domestic partner may be purchased at anytime, but your request must be accompanied by a health questionnaire and is subject to review and approval by Prudential. You can add coverage for children at anytime without Prudential's review.
Questions?
For more information, contact your benefits office. Detailed brochures from Prudential are available.
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