Retired Corrections Officers: Life Insurance Benefits In New York

The Survivor's Benefit Program is a financial protection plan that provides a death benefit to the survivors of retired New York State employees. The benefit amount depends on the date of retirement. If the retired employee left state service on or after April 1, 1970, the beneficiary will receive $3,000, and if they left between October 1, 1966, and March 31, 1970, the beneficiary will receive $2,000. To be eligible for this benefit, the retired employee must have had at least ten years of full-time state service within the 15 years immediately preceding their retirement. Additionally, they must meet one of the following requirements at the time they leave the public payroll: retire directly from state service and be a member of the New York State and Local Retirement System (NYSLRS) or the New York State Teachers' Retirement System (NYSTRS); retire directly from state service at age 55 or older, participate in the State University Optional Retirement Program (TIAA), and begin collecting their pension within 90 days of their last day on the payroll; or leave state service at age 62 or older.

Death benefits for retired corrections officers

Death benefits are available for retired corrections officers in New York State, but eligibility depends on the specifics of your retirement plan and tier. These benefits are typically paid out to beneficiaries, who may be eligible for different types of death benefits, including ordinary death benefits and accidental death benefits.

Ordinary Death Benefits

Ordinary death benefits are available to most members who die while still working and are left to beneficiaries as a lump-sum payment. This is usually equal to one year of the deceased's earnings per year of service, up to a maximum of three years. To qualify for this benefit, the deceased must have had at least one year of service credit, and their death must have occurred while they were on the public payroll.

Accidental Death Benefits

Accidental death benefits are available to members who die due to an on-the-job accident (not as a result of their own willful negligence). This benefit is a pension payable to the spouse of the deceased. If there is no spouse, other beneficiaries as specified by law may be eligible. For Employees' Retirement System (ERS) Tier 4, 5, and 6 members, the benefit is 50% of the deceased's earnings from their last year of service. For most other members, the benefit is 50% of their final average earnings, less any workers' compensation benefit. There is no minimum service credit requirement for this benefit.

Post-Retirement Death Benefits

Most NYSLRS retirees are eligible for a post-retirement death benefit if they retired directly from the payroll or within one year of leaving covered employment. This benefit is a one-time, lump-sum payment to the beneficiary. The amount depends on the ordinary death benefit before retirement and the length of time retired.

• First year of retirement: 50% of the ordinary death benefit
• Second year of retirement: 25% of the ordinary death benefit
• After the second year of retirement: 10% of the benefit payable at retirement or at age 60, whichever is earlier

Survivor's Benefit Program

The Survivor's Benefit Program provides a minimum death benefit to the survivors of retired New York State employees. The beneficiary may receive a benefit of $3,000 if the retired employee left state service on or after April 1, 1970, or $2,000 if they left between October 1, 1966, and March 31, 1970. This benefit is automatic if the retired employee has ten years of full-time state service within the 15 years immediately preceding their departure or retirement from state service, and if they meet one of the following requirements:

• Retire directly from state service and be a member of the New York State and Local Retirement System (NYSLRS) or the New York State Teachers' Retirement System (NYSTRS)
• Retire directly from state service at age 55 or older, participate in the State University Optional Retirement Program (TIAA), and begin collecting a pension within 90 days of the last day on the payroll
• Leave state service at age 62 or older

Life Insurance Benefits

Life insurance benefits for retired corrections officers in New York State are not explicitly mentioned in the sources provided. However, New York Life, a company that offers employee benefits, provides life insurance as part of its income protection program for eligible employees.

Eligibility requirements for retired NYS employees

To be eligible for retirement benefits as a retired New York State (NYS) employee, you must meet certain requirements. Firstly, for ERS Tier 3, 5, and 6 members, you need to have at least five years of service to be eligible for a retirement benefit. With 25 years of creditable service, you can retire at any age and receive full benefits, which will be equal to half of your Final Average Salary (FAS). If you have less than 25 years of creditable service, you can still retire as early as age 55, but your benefits will be reduced if you retire before turning 62 (or 63 for Tier 6 members).

The amount of benefits you receive is calculated based on your years of service. With less than 20 years of creditable service, you will be entitled to 1.66% of your FAS for each year of service. This percentage increases to 2% of your FAS for each year of service if you have 20 or more years of creditable service. If you have 25 or more years of service and retire before the age of 55, you will receive half of your FAS. Retiring between the ages of 55 and 62 (or 55 and 63 for Tier 6 members) will entitle you to either half of your FAS or 2% of your FAS for each year of service, up to a maximum of 30 years, with a reduction for early retirement.

Additionally, there are specific eligibility requirements for the Survivor's Benefit Program, which provides a minimum death benefit to the survivors of retired NYS employees. To be covered by this program, you must have ten years of full-time state service within the 15 years immediately preceding your retirement or departure from state service. You must also meet one of the following requirements at the time you leave the public payroll:

• Retire directly from state service and be a member of the New York State and Local Retirement System (NYSLRS) or the New York State Teachers' Retirement System (NYSTRS).
• Retire directly from state service at age 55 or older, participate in the State University Optional Retirement Program (TIAA), and begin collecting your pension within 90 days of your last day on the payroll.
• Leave state service at age 62 or older.

Survivor's Benefit Program

The Survivor's Benefit Program is a financial protection plan that provides a minimum death benefit to the survivors of New York State retired employees. The benefit amount varies depending on the retirement date of the employee. If the employee left state service on or after April 1, 1970, the beneficiary will receive $3,000. If the employee left state service between October 1, 1966, and March 31, 1970, the beneficiary will receive $2,000. State service in this context means that the employee's salary was paid directly by the state of New York.

There is no need to enroll in the Survivor's Benefit Program. Employees are automatically covered if they have ten years of full-time state service within the 15 years immediately preceding their departure or retirement from state service. Additionally, they must meet one of the following requirements at the time they leave the public payroll:

• Retire directly from state service and be a member of the New York State and Local Retirement System (NYSLRS) or the New York State Teachers' Retirement System (NYSTRS).
• Retire directly from state service at age 55 or older, participate in the State University Optional Retirement Program (TIAA), and begin collecting a pension within 90 days of their last day on the payroll.
• Leave state service at age 62 or older.

At the time of retirement or departure from state service, the employer will provide the Survivor's Benefit Eligibility Form (RS6355) to complete and return to the personnel office. If the employee is not a member of NYSLRS, NYSTRS, or TIAA, they must designate a beneficiary to receive the survivor's benefit on this form. The beneficiary can be changed at any time by sending a completed Pensioner's Designation of Beneficiaries (RS6439) form.

It is important to review the beneficiary designation for the survivor's benefit if the retiree is divorced and chose the Single Life Allowance option or, in certain instances, an alternative option. As of July 7, 2008, the beneficiary designation for certain benefits, including the survivor's benefit, can be revoked when a divorce, annulment, or judicial separation becomes final.

Ordinary death benefit

The Ordinary Death Benefit is a one-time lump-sum payment to the beneficiary of a retired New York State employee. The beneficiary is not entitled to a monthly pension benefit. The first $50,000 of the Ordinary Death Benefit is paid in the form of group term life insurance, which is currently exempt from federal income tax. The retired employee's accumulated contributions (if any) are also payable to the beneficiary.

An Ordinary Death Benefit may be payable to the designated beneficiary if the retired employee's death occurs:

• While the retired employee is on the payroll in public service.
• While the retired employee is on authorized medical leave of absence (with or without pay).
• While the retired employee is receiving Workers' Compensation or other employer-funded benefits, for up to two years (which may be extended for an additional two years) following the last date the retired employee was paid on the payroll, provided their employment has not been terminated by resignation, employer action, retirement, or any other means while receiving those benefits.
• Within 12 months of the last date the retired employee was receiving salary, on an authorized medical leave of absence, or receiving Workers' Compensation or other employer-funded benefits, provided the retired employee was not otherwise gainfully employed or retired during that period.

The amount of the Ordinary Death Benefit depends on the retired employee's tier and years of service. For Tier 1 members of the Security Negotiating Unit and Security Supervisor's Unit with at least 90 days of service, the benefit payable is three times the retired employee's last year of earnings, rounded up to the next highest multiple of $1,000. For Tier 1 members who are not part of the Security Negotiating Unit or the Security Supervisor's Unit, and who have completed one or more years of service since joining the Retirement System, the regular Ordinary Death Benefit is 1/12th of the retired employee's last year of earnings multiplied by their years of service credit, up to 36.

For Tier 2 members with at least 90 days of service, the Ordinary Death Benefit is equal to three times the retired employee's earnings, rounded up to the next highest multiple of $1,000. The earnings are limited by Section 130 of the Civil Service Law.

If a retired employee is a vested member with at least ten years of credited service and has not retired, 50% of the Ordinary Death Benefit may still be payable if the retired employee dies more than one year after leaving public employment. This benefit may also be payable if the retired employee dies within one year of leaving covered service but was gainfully employed during that time.

Accidental death benefit

An accidental death benefit is a payment made to the beneficiary of an accidental death insurance policy. This is often a clause or rider connected to a life insurance policy. Accidental death benefits are typically paid in addition to the standard benefit payable if the insured died of natural causes.

Accidental death insurance provides financial support for your loved ones if you die in a covered accident. It is available for anyone between the ages of 18 and 70. Accidental death coverage may be right for you if you want to provide protection for your family in the event of an unexpected covered accident, or if you need to supplement existing life insurance coverage.

In the case of a fatal accident, death usually must occur within a period specified in the policy. Some policies' accidental death benefits may also cover dismemberment, total or partial loss of limbs, burns, instances of paralysis, and other similar cases. These riders are called accidental death and dismemberment (AD&D) insurance.

Accidents typically exclude things like acts of war and death caused by illegal activities. Death from an illness is also excluded. Any hazardous hobbies that the insured regularly engages in, such as race car driving or bungee jumping, are often excluded as well.

Frequently asked questions