Be it enacted by the General Assembly of Virginia: 1. That §38.2-3323 of the Code of Virginia is amended and reenacted as follows: §38.2-3323. Group life insurance coverages of spouses, dependent children, and other persons. A. Coverage under a group life insurance policy, except a
policy issued pursuant to §38.2-3318.1 B, may be extended to insure 1. The spouse and any child who is under the age of 2. Any other person in whom the insured group member has an insurable interest as defined in §§38.2-301 and 38.2-302 as may mutually be agreed upon by the insurer and the group policyholder. The amount of insurance on the life of a spouse B. A spouse insured under this section shall have the same conversion right to the insurance on his or her life as the insured group member. C. Notwithstanding the provisions of §38.2-3331, one
certificate may be issued for each D. In addition to the coverages afforded by the provisions of
this section, any such plan for group life insurance which includes coverage
for children shall afford coverage to any child who is both (i) incapable of
self-sustaining employment by reason of mental retardation or physical handicap
and (ii) chiefly dependent upon the employee for support and maintenance. Upon
request of the insurer, proof of incapacity and dependency shall be furnished
to the insurer by the E. 1. Upon termination of such group coverage of a child, the child shall be entitled to have issued to him by the insurer, without evidence of insurability, an individual life insurance policy without disability or other supplementary benefits, if: a. An application for the individual policy is made, and the
first premium paid to the insurer, within b. The individual policy, at the option of such person, is on any one of the forms then customarily issued by the insurer at the age and for the amount applied for, except that the group policy may exclude the option to elect term insurance; c. The individual policy is in an amount not in excess of the
amount of life insurance which ceases because of such termination, less the
amount of any life insurance for which such person becomes eligible under the
same or any other group policy within d. The premium on the individual policy is at the insurer's then customary rate applicable to the form and amount of the individual policy, to the class of risk to which such person then belongs, and to the individual age attained on the effective date of the individual policy. 2. Subject to the same conditions set forth above, the conversion privilege shall be available (i) to a surviving dependent, if any, at the death of the group member, with respect to the coverage under the group policy which terminates by reason of such death, and (ii) to the dependent of the group member upon termination of coverage of the dependent, while the group member remains insured under the group policy, by reason of the dependent ceasing to be a qualified family member under the group policy. |