Life Insurance For Apwu Retirees: What's Available?

The American Postal Workers Union (APWU) offers a range of benefits to its members, including retirees. These benefits include comprehensive health care options, such as the APWU Health Plan, which is available to both retired postal workers and retired federal workers. In addition to health care, the APWU also provides access to life insurance through the Voluntary Benefits Plan. This plan offers life insurance benefits specifically designed for APWU members, including retirees. The APWU is committed to providing its members and retirees with high-quality products and services to enhance their quality of life.

The APWU Retirees Department

• A voice in union affairs
• Participation in the APWU Health Plan
• Voluntary Benefits Plan programs, including Group Legal Services, Hospital Indemnity Insurance, and the Basic Care Hospital Plan
• APWU Accident Benefit Association protection, which covers temporary disability, dismemberment, or death as a result of a covered accident
• Union Plus discounts and services
• A free $5,000 Accidental Death and Dismemberment Insurance policy
• A continuing subscription to The American Postal Worker magazine
• Access to the Members Only pages on the APWU website

Membership in the APWU Retirees Department is open to any former member of the American Postal Workers Union or any of the five predecessor unions that merged in 1970 to form the APWU. The annual membership fee is $36, which can be deducted in $3 increments from the member's monthly annuity check.

In addition to the benefits offered by the APWU Retirees Department, postal and federal retirees may also be eligible for life insurance through the Federal Employees' Group Life Insurance (FEGLI) program, which covers more than 4 million postal and federal employees and retirees, as well as their family members. While Basic life insurance coverage under FEGLI is automatic for most new federal workers, optional insurance programs are also available.

The Voluntary Benefits Plan

The plan is designed to provide financial security and peace of mind for APWU members and their families. The life insurance benefit, in particular, can help protect members' loved ones in the event of their death. The disability insurance benefit can provide income replacement if a member becomes disabled and is unable to work. The dental and hospital indemnity insurance benefits can help cover the cost of medical expenses, while the automobile insurance benefit can provide protection in the event of a car accident.

In addition to the core insurance benefits, the Voluntary Benefits Plan also offers access to the AFLAC Specified Health Event and Cancer Insurance. This optional coverage is available exclusively to APWU members and their qualifying family members. It provides comprehensive and affordable financial protection in the event of a serious illness, such as cancer or another catastrophic disease. These benefits pay cash directly to policyholders, regardless of any other insurance they may have, providing a valuable safety net during difficult times.

The Accident Benefit Association is another component of the Voluntary Benefits Plan. It provides additional coverage in the event of temporary disability, dismemberment, or death resulting from a covered accident. This benefit is available to both active and retired members of the APWU, as well as their spouses, offering enhanced protection and reassurance beyond what is provided by traditional insurance plans.

The Accident Benefit Association

The ABA is just one of several voluntary insurance benefits available to APWU members, including disability, life, dental, hospital indemnity, and automobile insurance. These benefits are available to all dues-paying members of the union, whether active, retired, or associate members, as well as their spouses.

In addition to the ABA, APWU retirees can also take advantage of other benefits such as the APWU Health Plan, Group Legal Services, Hospital Indemnity Insurance, and the Basic Care Hospital Plan. The APWU Retirees Department offers a range of services and discounts for just $36 per year, including a free $5,000 Accidental Death and Dismemberment Insurance policy.

The APWU is committed to providing its members and retirees with comprehensive and affordable coverage, and the ABA is a valuable part of this commitment, ensuring that members are protected in the event of an accident. It is important to note that the ABA covers accidents specifically, and for life insurance, members can participate in the Federal Employees' Group Life Insurance (FEGLI) program, which covers over 4 million postal and federal employees, retirees, and their family members.

The APWU Health Plan

Retired postal workers who were APWU bargaining unit employees before retirement and were members in good standing of the APWU or the APWU Retirees Department are eligible to enrol. Retired postal workers who were not part of the APWU bargaining unit and any non-postal federal retiree will automatically become associate members of the APWU upon enrolling in the APWU Health Plan. Associate membership dues are $35 per year, billed when the APWU receives notice of enrolment.

In addition to health benefits, the APWU offers a range of other benefits for retirees, including the Voluntary Benefits Plan, which includes group legal services, hospital indemnity insurance, and the Basic Care Hospital Plan. The APWU Accident Benefit Association provides protection against temporary disability, dismemberment, or death resulting from a covered accident. Retirees can also access Union Plus discounts and services, such as entertainment discounts and college planning services.

Federal Employees' Group Life Insurance (FEGLI)

The Federal Employees' Group Life Insurance (FEGLI) is the largest group life insurance program in the world, covering over 4 million federal employees and retirees, as well as their family members. The program was established on August 29, 1954, and is available to most new federal workers.

FEGLI provides group term life insurance, which means it does not build up any cash value or paid-up value. It consists of two parts: Basic life insurance coverage and three optional insurance programs. Basic life insurance is equal to the actual rate of annual basic pay (rounded to the next $1,000) plus $2,000, or $10,000, whichever is greater. There is also an Extra Benefit for employees under age 45: double life insurance benefits until age 36, decreasing at 10% per year until age 45.

In most cases, new federal employees are automatically enrolled in Basic life insurance, and the premiums are deducted from their paychecks unless they waive coverage. The cost of Basic insurance is shared between the employee and the government, with the employee paying 2/3 and the government paying 1/3. The employee's age does not affect the cost of Basic insurance, but it does affect the cost of Optional insurance.

The three forms of Optional insurance that employees can elect to participate in are:

• Option A - Standard, which provides $10,000 of coverage, doubling in the case of accidental death
• Option B - Additional, which provides one to five multiples of pay
• Option C - Family, which insures an employee's eligible family members from one to five multiples of coverage, with each multiple equal to $5,000 upon the death of a spouse and $2,500 upon the death of an eligible child

Unlike Basic insurance, enrollment in Optional insurance is not automatic, and employees must take action to elect these options. Additionally, employees must have Basic insurance in order to elect any of the optional coverages.

Frequently asked questions