Converting to Individual Benefits Plans

The conversion policy enables an employee to convert to an individual extended health, dental and life insurance plans when their group coverage ends.

The employee can convert to some or all of these plans. The carrier must receive the application within 60 days of the end of the month in which the group coverage ends. This conversion cannot be made retroactively. Once an employee misses the deadline, they are no longer eligible for conversion.

Individual Extended Heath & Dental Plans

Once employment ends, an employee may purchase individual coverage. Please note that an individual plan will be different than a group plan.

Individual Group Life Insurance Plans

If employment ends or the employee reaches age 65 (and are no longer eligible for group life insurance), they may convert their coverage to an individual policy, limited in both amount and plan, without a medical examination. Or, the employee may take a medical examination (paid for by the carrier) and choose any insurance plan offered by the company. If the employee does not meet the medical requirements, they will still have the opportunity to convert their coverage to an individual policy, limited in both amount and plan.

The amount of the individual policy where no medical examination is taken may be any amount up to the amount of coverage (maximum $200,000) in force at the time their group coverage ends. The premium for the individual policy will depend on age and on the type of policy selected. It is not the same rate as paid while covered under the group plan.

Converting Spouse’s Optional Life Insurance

Provided the spouse is under age 65, an employee may also convert their optional life insurance to an individual plan at the same time as they are converting their own coverage. 

If the spouse is older than the employee when the employee turns 65, the spouse is ineligible for conversion to an individual plan.

Note:

  • Converting to an individual plan may benefit the employee if they do not qualify for other insurance due to an existing medical condition
  • Employees are free to apply for insurance with any other insurance carrier they choose at any time

Important:

  • The carrier must receive the application within 60 days of the end of the month in which the group coverage ends. The conversion cannot be made retroactive
  • Please contact the carrier within 30 days of employment ending or turning age 65