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Administrator FAQ

Underwriting Process

 When does an employee have to file an EOI?
 What is the underwriting process?
 What information is required?
 How long does it take?
 What is "real time" underwriting?

Claims Process

Life Insurance & Accidental Death Claims Processing Steps
 General Process
 Estates
 Trusts
 Minor Beneficiaries
 Social Security or Tax Identification Number
 Contestable Clause
 Benefit Checks
 Beneficiary Financial Counseling
 Service

Waiver of Premium
 Elimination Period
 Claim Form

Accelerated Benefit Claim Process
 Terminal Condition
 Available Benefit
 Accelerated Benefit Payee
 Claim Forms

Accidental Dismemberment Claim Process
 Termination
 Claim Form

Premium Payment

 Premium Payment


Underwriting Process

 

When does an employee have to file an EOI?

An applicant must provide evidence of insurability (EOI) if applying at any time for more than the guaranteed amount of insurance, or if enrolling in coverage more than 31 days after initial eligibility.

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What is the underwriting process?

When an EOI reaches our office, we create a record for the employee. An underwriter reviews the EOI considering such factors as current physical condition, medical history, height and weight to determine if the employee meets the Company's acceptance standards for this type of insurance.

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What information is required?

Most EOI's are processed using only the information contained on the form. However, in some cases, a physical examination may be needed. The basic physical examination includes height, weight, pulse, blood pressure and a medical history questionnaire. The examination may include special testing such as a blood test, urinalysis and an EKG.

If an examination by a qualified medical professional is required, we will notify the exam service of any testing needed and the employee of how to schedule the exam. The exam service will then contact the employee to schedule an appointment. Most exams can be done in the convenience of the employee's own home and takes less than 30 minutes. There is no charge for the examination, and a copy of the exam and lab results are available to the employee at no cost. The employee can call Minnesota Life directly at (800) 872-2214 to request a copy to be mailed to their home.

Minnesota Life may also call or send a letter to the employee to clarify information during the evaluation process.

A review of an employee's past medical records may be necessary to evaluate their EOI. If so, we will request these from their doctor or other health care provider by mail. We will also send a letter to the employee notifying them that their medical records have been requested. Minnesota Life pays any charges incurred for the transfer of records. Employee medical records are considered confidential, and information is not released to anyone else without the employee's consent.

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How long does it take?

It is our desire to complete the processing of the EOI as quickly as possible.

If an employee completes a physical examination, a report of the examination is sent to Minnesota Life. These reports are usually received in our office within a week of the examination. If blood tests or a urinalysis are needed, an independent laboratory will handle these. The results are usually received by Minnesota Life within a week to 10 days of the examination. If we need to request medical records from the employee's doctor, there can be some delay in the doctor's office responding to our request. Sometimes it helps if the employee calls the doctor's office and asks for a prompt response.

Once all the information we requested is received, the EOI will be reviewed within 48 hours. We will notify the employee of our decision by mail. Infrequently, additional information might be needed. If further information is needed to evaluate the EOI, we notify the employee by mail within a few days.

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What is "real time" underwriting?

Real Time Underwriting Response (RTUR) is a feature on the LifeBenefits web site used by your employees. This feature lets online applicants know right away the amount of insurance that's been approved. For amounts that require additional underwriting, employees instantly receive information about what to expect next and are able to schedule any required exams online.

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Claims Process

 

Life Insurance & Accidental Death Claims Processing Steps

Below are the basic steps to follow when you as an employer are presented with a life or accidental death claim on an insured. Your office will typically coordinate securing the necessary claim information and submitting this to Minnesota Life for processing. Please contact us if you have questions.

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General Process

For employee claims, Minnesota Life should have on file the most current beneficiary designation. For dependent claims, the employee is the beneficiary.

To submit notice of claim to Minnesota Life, complete the paper Notice of Death or submit online via LifeBenefitsExtra (LBE). Along with the notice of claim, please submit screen prints verifying coverage.

Notice of Death /eClaims via LBE

  • Complete a Notice of Death form or complete the online death notification (eClaims) and submit it to Minnesota Life.
  • In addition, please submit a copy of all applications verifying the coverage level elected by the employee, as well as any evidence of insurability applications completed by the employee.
  • If using eClaims, secured email attachments via LBE or faxed forms may be acceptable. Please confirm with Minnesota Life's Group Insurance Claims department before doing so.

Beneficiary Statement

  • Your Company will contact each designated beneficiary to request they complete a Beneficiary Statement.
  • For estates and trusts, the form will need to be completed by the personal representative (also known as executor) of the estate or trustee respectively.
  • In addition, please submit a copy of all applications verifying the coverage level elected by the employee, as well as any evidence of insurability applications completed by the employee.
  • If using eClaims, secured email attachments via LBE or faxed forms may be acceptable. Please confirm with Minnesota Life's Group Insurance Claims department before doing so.

Preference Beneficiary Affidavit

  • When there is no surviving designated beneficiary, or none has been named, Minnesota Life will request the IRS form W-9.
  • Benefits are payable under the life insurance policy's order of priority.
  • The standard order of priority is as follows: Spouse, Children, Parents, Estate.

Death Certificate (certified copy)

  • A certified copy of the death certificate is required.
  • You should request this from the beneficiary.
  • If using eClaims, secured email attachments via LBE or faxed forms may be acceptable. Please confirm with Minnesota Life's Group Insurance Claims department before doing so.
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Estates

  • Minnesota Life requires a certified copy of the court issued Letters of Administration designating the personal representative (or executor) of the estate.
  • Some states allow the use of a small estate affidavit thereby bypassing the need for Letters of Administration. The value of the estate must be quite small for this to apply. For example, Minnesota sets its limit for the use of a small estate affidavit to $20,000.
  • When benefits are payable to an estate, you or the family of the insured can consult with us about using a small estate affidavit.
  • If an estate is the named beneficiary, then a small estate affidavit cannot be used, regardless of the amount.
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Trusts

Minnesota Life will require a copy of the Trust document.

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Minor Beneficiaries

  • Minnesota Life does not issue insurance proceeds directly to minors (under age 18 in most states). We require a certified copy of court issued Letters of Guardianship (or conservatorship) for the property (or estate) of the minor.
  • There are two types of guardianship: property (estate) and person. Minnesota Life requires guardianship for the property (estate).
  • Some states allow us to pay small amounts to a minor's custodian using the Uniform Transfers to Minors Act, thereby bypassing the need for a court appointed guardian. Again, this applies to small amounts - for example, in Minnesota the limit is $10,000. You or the family of the insured can consult with us if you have a small amount payable to a minor beneficiary.
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Social Security or Tax Identification Number

  • The beneficiary should complete the appropriate form providing his or her social security number.
  • The estate or trust must provide the tax identification number in the social security number box.
  • Certification of the social security or tax identification number on one of these forms is needed because Minnesota Life pays interest from the date of death to the date of payment.
  • Only the interest portion is considered taxable income to the beneficiary and must be reported by Minnesota Life to the IRS and recipient via a 1099-INT.
  • The 1099-INT is sent to the beneficiary in January of the year following our payment.
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Contestable Clause

If an employee applies for new coverage and provides evidence of insurability, the policy has a two year contestable period which can apply to claims that occur within the first two years. Fraud may extend this contestable period.

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Benefit Checks

Benefit checks will be mailed to the beneficiary/insured. Benefits are typically paid in a lump sum. Minnesota Life pays interest from the date of death to the date of payment, at the higher of the state mandated rate (if any) or our company rate.

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Beneficiary Financial Counseling

Minnesota Life has engaged PricewaterhouseCoopers to provide financial counseling services to beneficiaries. There is no charge to the beneficiary for this service. Beneficiaries are informed of this optional service in a letter accompanying their benefit check. To receive the service, the beneficiary must sign and return the authorization form that accompanies the letter. The level of service provided is dependent on the amount of life insurance proceeds received (excluding accidental death benefits) and is described in the letter accompanying their benefit check. This service is available to both life and accelerated benefit beneficiaries. The counseling services are designed to help employees' families make sound financial decisions at a difficult time. PricewaterhouseCoopers advisers do not sell insurance or investment products.

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Service

Minnesota Life's Group Claims department is here to serve you and your employees. We have a dedicated staff of life and disability claim examiners and customer service representatives. Please contact us if you have questions.

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Waiver of Premium

Your life insurance plan contains a Waiver of Premium provision. This provision provides that premiums will be waived in the event the insured becomes disabled as defined in the policy. Below are several key elements of Minnesota Life's Waiver of Premium claims process.

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Elimination Period

  • The Waiver of Premium provision contains an elimination period for eligibility of waiver benefits of 9 months.
  • This means the insured must remain disabled throughout the 9 months elimination period before premiums are waived.
  • The employer and/or the insured should continue to remit premiums during the elimination period to ensure coverage remains in force.
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Claim Form

When an employee is nearing the end of the elimination period, please submit the following forms:

Waiver of Premium Claim Employer's Statement

  • This notification can be completed online using eClaims.
  • You, the employer, complete this form.

Notice of Disability

  • The insured employee completes this form.

Attending Physician's Statement

  • The insured employee's attending physician completes this form.

Minnesota Life's Group Disability Claims department is here to serve you and your employees. We have a dedicated staff of examiners whose average experience is over 20 years. Please contact us if you have questions.

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Accelerated Benefit Claim Process

Your life insurance plan contains an Accelerated Benefits provision. This provision provides for the payment of a portion of the life insurance amount should the insured have a terminal condition as defined in the policy. Below are several of the rider's provisions as well as the key elements used in processing Accelerated Benefit claims.

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Terminal Condition

  • This policy rider defines a terminal condition as a condition caused by sickness or accident, which directly results in a life expectancy of 12 months or less.
  • Generally, we will request medical records from the insured's treating physician(s), which are reviewed by our Medical Directors to confirm the medical condition and life expectancy.
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Available Benefit

  • Provides benefit payment up to 100% of the face amount up to a maximum of $1 million in lieu of death benefit for insureds with a life expectancy of 12 months or less.
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Accelerated Benefit Payee

  • All benefits due under this Accelerated Benefits rider will be paid to the coverage owner.
  • The owner must be competent to endorse and direct the proceeds of this benefit.
  • If the owner is not competent to endorse and direct the proceeds of this benefit, we may ask that a Power of Attorney or Guardianship be appointed. In this case, benefits may be delivered to the Power of Attorney or Guardian as appropriate.
  • Although it is Minnesota Life's understanding that, under current IRS law, receipt of accelerated benefits due to a terminal condition is not considered taxable income to the owner, we recommend the owner consult with a tax advisor about their specific situation.
  • Receipt of accelerated benefits may adversely affect an owner's eligibility for Medicaid or other governmental benefits.
  • Accelerated Benefits may not be available if ownership of the coverage has been assigned or if there is an irrevocable beneficiary.
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Claim Form

Notice of Claim for Accelerated Benefit

  • Completed by the employer, eligible employee and the eligible employee's treating physician(s).
  • The employer information of this form can be completed online using LifeBenefitsExtra's eClaims capability.
  • Send completed forms directly to Minnesota Life.
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Accidental Dismemberment Claim Process

Your plan provides 24-hour accident protection. Below are several key elements of Minnesota Life's Accidental Loss claims process. Refer to your plan documents for applicable exclusions.

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Termination

Coverage terminates at the earlier of:

  • Termination of employment
  • Retirement
  • Termination of employee's eligibility
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Claim Form

  • In the event of an accidental death, see the section labeled: Life Insurance Claims Processing Steps.
  • If an accident results in a dismemberment, the form Notice of Accidental Dismemberment and Loss of Sight Claim should be completed by the claimant or guardian and the physician.
  • Information can be sent directly to Minnesota Life.
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Premium Payment

 

Premium Payment

You may choose between two methods of premium payment:

Remit premium

  • Remit premium monthly
  • Include the system generated monthly premium statement

Wire transfer

  • Wire transfer premium to:
    US Bancorp
    332 Minnesota Street
    St. Paul, MN 55105

    Routing # 091-000022
    Account # 180110006004
  • Wire transfer must include the following information:
    • Policy Numbers:
      • 0055555 (VGUL)
      • 0022222 (Term)
    • Attention: B2-4256
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This information is to serve as a reference only. The policy and certificate will be used to make all final determinations.