N.J. Admin. Code § 17:6-17.1

Current through Register Vol. 56, No. 23, December 2, 2024

Section 17:6-17.1 - Benefit

(a) The Group Life Insurance Plan shall provide life insurance coverage under a group policy or policies issued by one or more insurance company providers as shall be selected from time to time by the Treasurer. The benefit shall be in an amount equal to one and one-half times the base annual salary of the participant, except that in the event of death after retirement, the amount payable shall equal 3/16 of the participant's base annual salary. For purposes of this subchapter, "base annual salary" means the annual rate of base salary upon which contributions by the participant and the participant's employer to the Retirement Plan were based as of the most recent January 1 or, if later, the date the participant first enrolled in the Program.

(b) For purposes of this section, a participant shall be deemed to be in service and covered by the Group Life Insurance Plan for a period of official leave of absence without pay when such leave is due to illness or any reason other than illness, with such period to be determined by the Plan Administrator, if satisfactory evidence is presented to the Plan Administrator of such official leave of absence. A participant shall be deemed to be on an official leave of absence only if the leave is formally approved by the employer prior to the time the leave commenced and timely notice is filed by the employer with the Plan Administrator. If timely notice is not filed, the employer shall be responsible for the payment of any benefits pursuant to this section if the participant was otherwise eligible for such benefits.

(c) In the event of the death of a participant in active service in the first year of participation as a result of an accident met in the actual performance of duty at some definite time and place, the death benefit payable pursuant to this section shall be computed at the annual rate of base salary.

(d) No beneficiary of a retired participant shall be entitled to receive the death benefit payable in the event of death after retirement pursuant to this section unless the participant either: had at least 25 years of credited participation in the Retirement Plan under this Program; or had at least 10 years of such credited participation and had attained 60 years of age and was an actively employed participant in the Retirement Plan under this Program in the year immediately preceding his or her distribution commencement date. For an eligible employee who is a participant pursuant to 17:6-4.1(a)5, service credit in the Teachers' Pension and Annuity Fund, Police and Firemen's Retirement System, State Police Retirement System, or the Public Employees' Retirement System shall also be considered in determining if the participant met the requirements of this subsection.

N.J. Admin. Code § 17:6-17.1