LIFE INSURANCE

Other Information

Continuation of Insurance
If you stop active employment, your insurance may be continued. The length of time you may continue insurance will depend on the reason you stop active employment, as outlined next. If you do not make any required premium contributions, your insurance will stop at the end of the period for which premiums are paid.

• Leave of Absence: If you stop active employment due to a non-medical leave of absence, the company may continue your insurance for up to two months. You will pay the cost to continue Dependent and Voluntary Term Life Insurance coverage.

• Layoff or Suspension of Operations: If you stop active employment due to a layoff or suspension of operations, your coverage ends on your last day of employment. Please see conversion below for details on converting your policy.

• Sickness or Accidental Injury. If you stop active employment due to sickness or accidental injury, the company may continue your insurance as long as all premiums are paid.

If You Are on an Authorized Leave of Absence
If you are on an approved personal leave, FMLA (Family and Medical Leave Act of 1993) leave or military leave of absence, you may continue life and AD&D insurance coverage for yourself and your eligible dependents, as follows:

• For an FMLA leave: The company will pay the full cost for Basic Life Insurance and Basic AD&D Insurance coverage for up to 12 weeks. You may also continue Voluntary and Dependent Term Life Insurance coverage by paying the full cost of coverage. You may continue coverage for up to a maximum of 12 months.

• For a personal leave: You may continue Basic, Voluntary and Dependent Term Life Insurance coverage for up to 60 days by paying the full cost of coverage.

• For a military leave: Under the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA), associates who are called to national active military duty are entitled to a leave of absence for military service, with reinstatement rights. If you are called for military service, you may continue your Life and AD&D insurance coverage as follows:

  You may continue coverage while on leave. The company will pay the total cost for Basic Life and AD&D Insurance coverage for the first 12 weeks. (Your AD&D Insurance benefits will not cover losses caused by war or any act of war, declared or undeclared.)

  If you are receiving pay during a leave of absence, premiums will continue to be deducted from your paycheck. If you are not receiving pay during a leave, you must make payment arrangements through Corporate Benefits.

If You Become Disabled
If you become totally and permanently disabled prior to age 60, your Basic and Voluntary Life Insurance may continue at no cost to you at your pre-disability insurance amount, after you have been totally and permanently disabled for nine months. Coverage will continue until the earlier of your:

• The date you cease to be Totally Disabled;
• The date you fail to submit to a physical exam as required;
• The date your life insurance would otherwise terminate as per the terms of the Policy;
• The date proof of Total Disability is not provided when due; or
• The date you reach age 65.

The insurance carriers have the right to ask for an independent exam when you are initially disabled and periodically thereafter. When your extended coverage ends, you may be able to convert to an individual policy.

You may continue Dependent and Voluntary Term Life Insurance with regular plan premiums. Basic AD&D does not continue while you are disabled.

Please see the Life Certificate for more details on waiver of premium.

When You Reach Age 70
At age 70, your basic life and AD&D insurance coverage will be reduced to 65% of the amount in effect on the day before your 70th birthday. At age 75, coverage will be reduced to 50% of the amount in effect on the day before your 75th birthday.

Note: Dependent life insurance coverage is not reduced when you reach age 65.

When Your Coverage Ends
All your life insurance and AD&D benefits will end on the date your employment ends. Your employment ends when you cease active work as an associate. However, for purposes of benefits, Valassis may deem your employment to continue for certain absences (see above information on leaves and disability). If the plan ends in whole or in part, your benefits that are affected will end.

Your coverage will end on the earliest of the following:

• the date the policy terminates;
• the date you are no longer in a class eligible for coverage, or the policy no longer insures your class;
• the date the premium payment is due but not paid;
• the date your employment terminates; or
• the date you are no longer actively at work;

unless continued in accordance with any of the Continuation Provisions.

Your dependent life insurance will end on the earliest of:

• The date your coverage ends;
• The date the required premium is due but not paid;
• The date you are no longer eligible for dependent coverage;
• The date the plan terminates; or
• The date the dependent no longer meets the definition of dependent, unless continued in accordance with the continuation provisions.

AD&D coverage ends on the date your basic life insurance stops.

Assignment of Benefits
Except for the dismemberment benefits under the AD&D benefit, you have the right to absolutely assign your rights and interest under the policy including, but not limited to the following: the right to make any contributions required to keep the insurance in force; the right to convert; and the right to name and change a beneficiary. Sun Life will recognize any absolute assignment made under the policy provided it is duly executed and a copy is acknowledged and on file with Sun Life.

Portability
How it works: The Portability option allows terminating employees to continue their life insurance coverage under a separate group policy. This means you can take this important coverage with you at a reasonable group rates when you leave Valassis.

You may elect Portability coverage equal to 100%, 75%, or 50% of your life insurance amount being terminated, subject to a maximum of $250,000. The amount you choose will be reduced by 75% (to 25% of the original amount) at age 65, but will never be less than $5,000.

You must elect Portability coverage within 31 days of the termination of your group life coverage. You will then receive a new group life insurance certificate explaining your benefit provisions, which will be similar, although not necessarily identical, to your active life coverage. Quarterly bills for Portability coverage will be sent to your home address.

Note: As an alternate to choosing the Portability option, you may convert your group life coverage to an individual policy from The Hartford. If your group life plan includes spouse coverage, your spouse may also convert coverage. The amount you and your spouse can convert depends on the reason your coverage is terminating.

Eligibility: When group life plans offer the Portability option. Portability coverage is available to employees when their employment terminates if the policy remains in force and they have not reached retirement age, as defined in the 1983 amendments to the Federal Social Security Retirement Act (age 65 or later, based on a graded scale).

If your life plan contains Portability provisions for spouse and dependent(s), you may also be able to elect Portability coverage for them, as long as they are insured under your current group life coverage. Spouse coverage and dependent child coverage are subject to maximums of $50,000 and $10,000, respectively.

You do not have to elect to continue coverage under the provision in order for your spouse to do so. However, you or your spouse must elect Portability coverage to continue coverage for your dependent child(ren).

Note: Portability coverage is not currently available in some states.

Term of Coverage: You and your spouse can continue Portability coverage until age 75, provided your premiums are paid. At age 75, you and your spouse can convert this coverage to an individual life insurance policy.

Dependent child coverage can be continued under the Portability provision until age 19 (age 25 if the child is a full-time student).

The enrollment form for Portability of your Group Life Insurance Benefits is provided by Sun Life. There is additional information regarding Portability available here, as well as a notification certificate available here.

Conversion Privilege
If your insurance coverage ends (because your employment ends or you are no longer eligible for benefits), you and your dependents may have the right to convert the coverage that terminated to an individual conversion policy without providing Evidence of Insurability. Conversion is not available for the AD&D benefits or any amount of life insurance for which you or your dependents were not eligible and covered under the policy. Coverage limits may apply.

To convert your coverage or coverage for your dependents, you must complete a Notice of Conversion Privilege Form and have Valassis sign the form. There is additional information regarding Coversion available here.

You must apply to convert your group coverage no later than 31 days following the date your coverage ends or 15 days from the date Valassis signs the form, whichever is later. However The Hartford will not accept requests for conversion if they are received more than 91 days after life insurance ends.

The new policy will become effective 31 days after the insurance you are converting stops. The premiums for the new policy will be based on your (or your insured dependents’) age on the effective date of the new policy and the type of policy.

If you lose coverage because the Plan ends, you may convert coverage only if you have been covered under the plan for at least five years.

To apply for conversion, complete the Notice of Conversion Privilege Form and submit it directly to Sun Life. Application must be made within 31 days after the group insurance ended. All required premiums must be paid.