Life Insurance
The City of Madison offers optional life insurance to permanent employees. Employees may enroll in any level of coverage upon starting employment with the City by submitting a Life Insurance Enrollment/Change Form to Human Resources within 30 calendar days of initial hire in an eligible position. After this initial enrollment period, enrollment requires either an eligible qualifying life event, such as marriage, divorce, or birth/adoption (limitations and deadlines apply), or approval via the medical underwriting process. This applies to both employee coverage and dependent coverage.
- Are you interested in increasing coverage, decreasing coverage, or cancelling coverage? See the Changing Coverage section for details!
Beneficiary Designations
Benefits for loss of your life are payable to the beneficiary designated on your enrollment form. If you wish to change a beneficiary, fill out a new Life Insurance Enrollment/Change Form and submit to Human Resources. Please note that life events (like marriage, divorce, birth/adoption, etc.) do not negate beneficiary designations on file - a new form is required to change beneficiary/ies for life insurance.
Coverage Options
Employee Coverage
Employee coverage is recalculated each summer, and is based on an employee's highest annual salary of record at the time of the annual recalculation. It is available in four levels: Basic Only, Basic + 50% Supplemental, Basic + 100% Supplemental, and Basic + 200% Supplemental.
Note: While Basic coverage is calculated separately from Supplemental coverage, it is possible to estimate your total coverage for Basic + Supplemental by multiplying your Basic coverage amount by 1.5, 2, or 3, respectively.
- Basic Coverage: The employee's highest annual salary of record rounded to the next highest thousand. This coverage is subject to a minimum of $10,000 and a maximum of $200,000.
- Supplemental Coverage: The employee's highest annual salary of record (HAS) multiplied by a factor of 0.5, 1, or 2, and then rounded to the next highest thousand.
- 50% Supplemental: HAS x 0.5, rounded up to the next highest thousand; subject to a maximum of $100,000
- 100% Supplemental: HAS x 1, rounded up to the next highest thousand; subject to a maximum of $200,000
- 200% Supplemental: HAS x 2, rounded up to the next highest thousand; subject to a maximum of $400,000
Cost
| Age Group | Cost Per $1000 Coverage (Basic) | Cost Per $1000 Coverage (Supplemental) |
|---|---|---|
| Under 25 | $0.05 | $0.035 |
| 25-29 | $0.06 | $0.042 |
| 30-34 | $0.08 | $0.056 |
| 35-39 | $0.09 | $0.063 |
| 40-44 | $0.10 | $0.07 |
| 45-49 | $0.15 | $0.105 |
| 50-54 | $0.23 | $0.161 |
| 55-59 | $0.43 | $0.301 |
| 60-64 | $0.57 | $0.399 |
| 65-69* | $0.57 | $0.399 |
| over 69* | Free (basic coverage only) | $0.399 |
*Age 65 and over rates and coverage apply only if actively employed by the City of Madison. Retired employees of the City have a different coverage and rate structure.
Dependent Coverage
Employees may also purchase up to two (2) units of Dependent Coverage, designed to help with final expenses for the death of a dependent. For life insurance purposes, "dependent" includes both spouse (to age 65) and dependent child(ren) (to age 26).* Unit(s) of dependent coverage cover any/all eligible dependent(s) at once, and cost $1.75 per month each.
| Number of Units | Child(ren) | Spouse |
|---|---|---|
| One (1) | $10,000 coverage | $10,000 coverage |
| Two (2) | $15,000 coverage | $20,000 coverage |
*If an employee enrolled in dependent coverage no longer has any eligible dependent(s), it is the employee's responsibility to submit a Life Insurance Enrollment/Change Form to remove dependent coverage.