Academic Affairs Manual (ACD)

Effective: 7/1/1978

Revised: 3/1/2005

ACD 608: Survivor Benefits

Purpose

To provide a summary of benefits available to beneficiaries of a deceased faculty member or academic professional or to a faculty member or academic professional whose dependent dies

Sources

Arizona Revised Statutes §§ 15–1628; 38–781.01–07; 38–781.11–13; 38–841 to –855

Arizona Administrative Rules and Regulations, R2-5-602 (Supp. 1983–84)

Arizona Board of Regents Policy Manual - 6–604

Applicability

For All Survivor Benefits

Faculty and academic professionals who:

1. are employed to work 20 hours per week (50 percent FTE) or more for a continuous period of six or more months

   and

2. are qualified to participate in and are making contributions to an approved state or optional retirement program unless exempted by law.

For Retirement Survivor Benefits Only

Faculty and academic professionals who:

1. are employed to work 20 hours per week (50 percent FTE) or more for a continuous period of three or more months

   and

2. are qualified to participate in and are making contributions to an approved state or optional retirement program unless exempted by law.

Policy

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Survivor Benefits for Beneficiaries of Faculty and Academic Professionals

Beneficiaries of a deceased faculty member or academic professional are entitled to benefits from the following programs if the faculty member or academic professional participated in the program when living.

Retirement

The designated beneficiary is entitled to a payment of the member’s and employer’s contributions plus interest.

Basic Life Insurance

The designated beneficiary is entitled to a payment of: $15,000; $30,000, in the event of accidental death; or $45,000, in the event of an automobile accident death that occurs while the insured person is wearing a seat belt.

Supplemental Life Insurance

The designated beneficiary is entitled to a payment for the face value of the policy purchased by the faculty member or academic professional, or, under certain policies, double indemnity benefits.

Medical/Dental Insurance

The surviving spouse and children, if any, are entitled to continued medical/dental insurance coverage for 36 months if the faculty member or academic professional had elected dependent coverage. The beneficiaries must apply within 60 days of the individual’s death. Premiums are paid by the survivors directly to the insurance company.

Salary

The beneficiary is entitled, upon proper attestation, to payment of the balance of the salary due to the faculty member or academic professional at the time of death.

Vacation

For faculty or academic professionals on fiscal-year appointments, the beneficiary is entitled, upon proper attestation, to payment for unused vacation at the employee’s hourly rate of pay. The payment amount will be for all accumulated vacation leave at the time of the employee’s death.

Tuition Waiver

The surviving spouse and dependents, if any, of a deceased benefit-eligible faculty member or academic professional with at least five years of continuous full-time service are entitled to tuition waiver(s). The spousal benefit terminates at the time the surviving spouse remarries.

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Benefits for Faculty and Academic Professionals Who Survive a Dependent

A faculty member or academic professional is entitled to receive a supplemental life insurance payment when a dependent dies if eligible dependent coverage has been purchased or is provided by the carrier.

ProceduresD

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Survivor Benefits for Beneficiaries of a Deceased Faculty Member or Academic Professional

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Responsibility	Action
Faculty member’s or academic professional’s unit chair or director	Send a termination Payroll Action form (PAF) to Human Resources (HR). Ask the surviving spouse, beneficiaries, or estate representatives to call HR.
Human Resources	Process the PAF. Produce the check(s) for the balance of the individual’s salary and vacation pay, if any. Forward the check(s) to the beneficiary or the estate representative after the required affidavit has been signed.
	Inform the surviving spouse, beneficiaries, or estate representatives of: the types and amounts of benefits coverage the number of death certificates needed and the procedure to continue medical insurance coverage, if applicable. Complete and forward the forms to the respective life insurance companies for payment.

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Benefits for Faculty and Academic Professionals Who Survive a Dependent

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Responsibility	Action
Faculty member or academic professional	Notify Human Resources of the death of an eligible dependent.
Human Resources	Inform the faculty member or academic professional of: the types and amounts of coverage and the number of death certificates required. Process beneficiary change(s), if necessary. Complete and forward forms to the respective life insurance companies for payment.

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