Keeping You Covered

In 2004, the Board of Trustees, Group Insurance Plans for ACS Members (BOT) initiated changes to enhance several of the plans offered through the Member Insurance Program. Effective Jan. 1, the New York Life Insurance Co. (NYL) assumed the contract for underwriting the life, disability, hospital indemnity, and accidental death and dismemberment insurance plans. Coverage limits for the annually renewable term life plan have been raised from $800,000 to $2 million. And as a direct result of the transition to NYL, two new plans are being introduced. ACS members and society affiliates may now apply for 10- or 20-year level term life insurance plans--also with coverage up to $2 million.

BOT continually monitors the usefulness and value of insurance plans and makes changes as needed. After reviewing proposals from major insurance companies, BOT was pleased to select NYL as the provider of this important ACS member benefit. NYL holds a prominent position as a U.S. life insurance underwriter and has received some of the highest ratings for financial strength from the life insurance industry's principal rating agencies (such as A. M. Best, Standard & Poor's, and Moody's). NYL also ranked number one in customer satisfaction, according to the American Consumer Satisfaction List. As a member-oriented organization, BOT pays very close attention to member service.

ACS has offered annually renewable term life insurance to its members since 1966. Term life insurance is perhaps the most basic form of life insurance, providing affordable protection with an annually guaranteed premium. Although the premiums increase as the member gets older, they are generally very competitive for younger age groups. Term life insurance is an ideal choice for individuals with a temporary need for life insurance protection. With annually renewable term life insurance now available in amounts up to $2 million, ACS members and society affiliates have the chance to purchase significant protection for their families. Members under age 70 may apply for this insurance, and once the application is accepted, coverage is guaranteed to be renewable as long as ACS membership is maintained and premiums are paid--there are no reductions in coverage as the member ages.

With the addition of the new level term plans, ACS members can purchase life insurance with rates guaranteed over a longer period of time. With level term insurance plans, premiums will not go up and the benefits will not go down over the selected 10- or 20-year period. Level term plans have become very popular in the individual market, but they have only recently become generally available to professional associations on a group basis.

The 10-year level term plan is available to members under age 65, and the 20-year level term plan is offered to members under age 55. The level term plans have separate rates for men and women, and they are offered in three rating tiers based on health. While the rates for the level term plans are slightly higher than annual term life for members under age 40, the rates are locked in, and members over age 40 will pay a lower rate with a level term plan than they would with the annually renewable plan.

By broadening the choices and features available to members seeking group life insurance, we intend to make it easier to select the life insurance plan that best fits the needs of the entire family.

NYL will be offering disability income, hospital indemnity, and accidental death and dismemberment insurance at the same coverage levels and competitive rates as we've had in the past. All of these plans, as well as all of the life plans, are available to domestic partners of ACS members. Other plan-specific enhancements include a new disability income provision for organ donations and a future travel assistance feature for the accidental death and dismemberment plan.

The trustees are now reviewing member needs and available plans in the health insurance area, especially because we are finding that the percentage of workers and retirees covered by employer-provided medical insurance continues to decline. We very much want to hear from you. Has your employer canceled or reduced your medical benefits? Would you be interested in obtaining your medical insurance through a plan set up by ACS? Our mission has been, and remains, the following: "to provide insurance and other kinds of financial security programs for the benefit of the members of the society." We are working diligently to accomplish this mission.

Please send your comments to Jean A. Parr, Secretary to the Board of Trustees, ACS Member Insurance Program, 1155--16th St., N.W., Washington, DC 20036, e-mail: j_parr@acs.org; or call (800) 227-5558 ext. 8911.

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ACS Comments, which appear in C&EN from time to time, are written by society officers and committee chairs. They are available on C&EN Online at http://www.cen-online.org/html/acscomments.html . Comments are archived back to 2000.