LEARN THE BASICS
NOVEMBER 2021
Review your benefits coverage
Your 2021 may have included a new marriage, a new baby, a promotion, your first home or a newly empty nest. And whenever your life changes, it’s time to ask yourself if your benefits coverage should change, too. During Annual Enrollment, November 1–23, you’re able to add to or change your benefits coverage to better meet your financial needs — and provide for those you love.
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Secure your financial well-being
Your Costco benefits include three types of coverage to help protect your finances if the unexpected happens, or you’re unable to work for medical reasons. These include life, accidental death & dismemberment, and disability insurance. All are administered by Unum.
Life benefit coverage is there when you aren’t, to keep your family’s finances healthy. It pays a cash benefit in case of your death to a person (or persons) you choose as your beneficiary. If you’re enrolled in a Costco medical plan or Costco Long-Term Disability benefit coverage, you and your family members are automatically covered by Basic Life coverage at no cost to you.
Want more? During Annual Enrollment, you can buy additional coverage with Supplemental Life benefits for yourself, your spouse or domestic partner, and/or your child(ren).
When you first select and/or increase your Supplemental Life coverage, you may have to provide Evidence of Insurability (EOI). Unum will let you know if EOI is needed and how to complete it. Your new coverage levels will go into effect when Unum approves your application. If you’re on a leave of absence, the new levels will go into effect when you return to active employment.
Accidental death & dismemberment (AD&D) coverage pays a benefit if you’re injured or die as the result of an accident. Depending on your injury, the benefit is a percentage of the total benefit amount you’re eligible for. It’s paid in addition to any life insurance benefit. Costco provides AD&D coverage at no cost to you.
Disability insurance helps replace income lost when you’re not able to work because of an illness, injury or other medical condition (such as pregnancy).
- Unless you live in California, Hawaii, New Jersey, New York or Puerto Rico, you’re automatically enrolled for Voluntary Short-Term Disability (STD).* You pay a small portion of your base weekly earnings for coverage.
- If you’re enrolled in a Costco medical plan, you’re automatically enrolled for Long-Term Disability (LTD) insurance. There’s no cost to you. If you’re not enrolled in a Costco medical plan but are enrolled in other Costco benefits, you can elect LTD insurance and pay part of the cost.
*If you add STD insurance during Annual Enrollment, coverage will begin July 1 of the following year, after a six-month waiting period, as long as you’re actively at work. If you’re on a leave of absence on the effective date, your coverage will begin when you return to active employment.
Why choose a beneficiary?
Your beneficiary is the person (or persons) you choose to receive the funds from your Costco benefits (life, AD&D and retirement plan) in case of your death. It’s important to keep your beneficiary choices up to date, so you can be sure the right people receive your benefits.
Without a designated beneficiary, your life benefit may not go to the correct person — or your loved ones will have to take extra steps to access your life benefit. Therefore, it’s important for all employees to designate their life and AD&D beneficiaries by logging in to the Enrollment Website on Costcobenefits.com. Or you can call the Enrollment Center at 800-541-6205.
Annual Enrollment is a good time to update your beneficiary, but you can change it at any time during the year.
Annual Enrollment is November 1–23.
You can add to or change your life, AD&D or disability insurance on the Enrollment Website at Costcobenefits.com.