Maine Revised Statutes
Chapter 31: GROUP LIFE INSURANCE
24-A §2621. Conversion on termination of eligibility

§2621. Conversion on termination of eligibility
There must be a provision that if the insurance, or any portion of it, on a person covered under the policy or on the dependent of a person covered, ceases because of termination of employment or of membership in the class or classes eligible for coverage under the policy, such person is entitled to have issued to the person by the insurer, without evidence of insurability, an individual policy of life insurance without disability or other supplementary benefits, as long as application for the individual policy is made, and the first premium paid to the insurer, within 31 days after such termination, and:   [RR 2021, c. 1, Pt. B, §231 (COR).]
1.  The individual policy shall, at the option of such person, be 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;  
[PL 1981, c. 150, §24 (AMD).]
2.  The individual policy shall be 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 is or becomes eligible under the same or any other group policy within 31 days after such termination; provided, that any amount of insurance which shall have matured on or before the date of such termination as an endowment payable to the person insured, whether in one sum or in installments or in the form of an annuity, shall not, for the purposes of this provision, be included in the amount which is considered to cease because of such termination; and  
[PL 1969, c. 132, §1 (NEW).]
3.  The premium on the individual policy must be 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 person's age attained on the effective date of the individual policy.  
[RR 2021, c. 1, Pt. B, §232 (COR).]
Subject to the same conditions set forth in this section, the conversion privilege shall be available: To a surviving dependent, if any, at the death of the employee or member, with respect to the coverage under the group policy which terminates by reason of the death; and to the dependent of the employee or member upon termination of coverage of the dependent, while the employee or member remains insured under the group policy, by reason of the dependent ceasing to be a qualified family member under the group policy.   [PL 1981, c. 150, §25 (NEW).]
SECTION HISTORY
PL 1969, c. 132, §1 (NEW). PL 1981, c. 150, §§23-25 (AMD). RR 2021, c. 1, Pt. B, §§231, 232 (COR).

Structure Maine Revised Statutes

Maine Revised Statutes

TITLE 24-A: MAINE INSURANCE CODE

Chapter 31: GROUP LIFE INSURANCE

24-A §2601. Scope of chapter -- short title

24-A §2602. Group contracts must meet group requirements (REPEALED)

24-A §2602-A. Eligible groups

24-A §2603. Employee groups

24-A §2604. Debtor groups (REPEALED)

24-A §2604-A. Debtor groups

24-A §2605. Labor union groups (REPEALED)

24-A §2605-A. Labor union groups

24-A §2606. Trustee groups (REPEALED)

24-A §2606-A. Trustee groups

24-A §2607. Trade association groups (REPEALED)

24-A §2607-A. Association groups

24-A §2608. Municipal employees association groups (REPEALED)

24-A §2609. Professional association groups (REPEALED)

24-A §2610. Credit union groups (REPEALED)

24-A §2610-A. Credit union groups

24-A §2611. Dependents' coverage (REPEALED)

24-A §2611-A. Dependent's coverage

24-A §2612. Limit as to amount of insurance (REPEALED)

24-A §2612-A. Other groups

24-A §2613. Provisions required in group contracts

24-A §2614. Grace period

24-A §2615. Incontestability

24-A §2616. Application; statements deemed representations

24-A §2617. Insurability

24-A §2618. Misstatement of age

24-A §2619. Payment of benefits

24-A §2620. Information as to insurance

24-A §2621. Conversion on termination of eligibility

24-A §2622. Conversion on termination of policy

24-A §2623. Death pending conversion

24-A §2624. Information to debtor

24-A §2625. Notice as to conversion right

24-A §2626. Rate of premiums (REPEALED)

24-A §2627. Application of dividends, rate reductions (REPEALED)

24-A §2627-A. Dividends and experience refunds

24-A §2628. Total disability

24-A §2629. Acquired Immune Deficiency Syndrome

24-A §2630. Suicide