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Your designated beneficiary will receive a lump-sum payment of group term life insurance at the time of your death. The amount payable is based on your annual compensation upon which premiums were last paid as well as your age and length of your plan membership at the time of your death, as presented on the chart below. There is a reduction in benefits, if your death occurs before you have two years of membership. The death benefit is not taxable income to your beneficiaries. An accelerated (advanced) partial payment of your group term life insurance may be available if you have a terminal illness and are expected to die within 2 years.
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