Verizon Retiree Life Insurance
Life Insurance value is 1) equal to your basic yearly salary if you retired on or before August 2nd, 2008, 2) your yearly salary if you retired after August 2nd, 2008. It is frozen at that maximum value regardless of how long you continued to work past August 2nd, 2008, or 3) $20,000 if you were hired on or after August 3rd, 2008.
When you reach age 66 the amount will decrease by 10% per year from its original maximum value until at age 70 it reaches 50% of its original maximum value or to a minimum of $20,000, whichever is the higher amount.
Supplemental Life Insurance TERMINATES on the January 1 following the month in which you reach age 65.
The Letter From Prudential About Life Insurance: Many of us received a letter from Prudential offering to take over our Verizon Life Insurance. This is like a mini buyout, as best we can figure it out. Verizon gives Prudential a bunch of money, supposedly equal to what they would sock away to pay your Life Insurance, and you take that and work something out with Prudential, which might or might not be bigger and costlier.
Keep in mind: if you choose to do that you are now off Verizon's books, and if Prudential raises your rates in the future, that is between you and Prudential. As we get older and older, it becomes more and more likely we will die, and Life Insurance becomes more and more expensive