State RegulationsMA specificDifficulty 2/5
An employee covered under her employer's Massachusetts group life policy is leaving the job. What may she do about life insurance under M.G.L. c. 175, § 134(4)?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
M.G.L. c. 175, § 134(4) provides the conversion right: a person whose group life coverage ceases because employment ends may apply for an individual life policy without evidence of insurability, supplemented by M.G.L. c. 175, § 134A. The individual policy replaces the group protection she is losing, so she is not left uninsurable because of a health change she could not control. She does not inherit the master policy — she receives her own individual contract issued on the conversion basis.
Why the other options are wrong
- B) The master policy belongs to the employer as group policyholder; the departing employee gets an individual contract, not ownership of the group plan.
- C) Requiring a medical examination before any coverage contradicts the no-evidence-of-insurability conversion right of M.G.L. c. 175, § 134(4).
- D) Losing a job triggers no payment of the group face amount; the statute's remedy is conversion, not a cash distribution.
Memory hook
Leaving the job doesn't leave you bare — the group door converts to an individual one.