VRS Board Approves Reduction in Optional Life Insurance Rates

RICHMOND, Va., Mar. 31, 2004 - At its March 25 meeting, the Virginia Retirement System (VRS) Board of Trustees approved a proposal from Minnesota Life from Minnesota Life to reduce optional life insurance premium rates for employees and their spouses. The Board also approved an increase in benefits for eligible dependent children. The changes are effective July 1, 2004.

"This is the second year in a row that we are able to provide participants in the optional life insurance program with a rate decrease," said VRS Board Chairman Alfonso I. Samper.

Overall, optional life insurance premium rates will reduce 9 percent for employee and spouse coverage, with some variation based on the age of the insured person. No age group will experience a rate increase.

Additionally, the death benefit for insured children will increase by 25 percent.

"Last year we were able to provide the full benefit to eligible children who were as young as 15 days old," Samper said. "I am very pleased that we can pass along these savings to our members who participate in the optional life insurance program."

VRS is the 30th largest public or private pension fund in the U.S. and provides benefits to 117,000 retirees and 317,000 active members.

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