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   The Life and Accident Insurance Plans
Company-Paid Life and Accident Insurance Plans
The following information describes your coverage under the company-paid Life and Accident Insurance Plans.
Basic Life Insurance
Your basic life insurance is equal to one times your benefits pay, up to $1 million. If your benefits pay is not an even multiple of $1,000, your coverage will be raised to the next higher $1,000. JPMorgan Chase pays the full cost of this coverage.
Please Note: Separate definitions other than what are described here may apply to employees in certain sales positions who are paid on a draw-and-commission basis. If this situation applies to you, you will be notified.
Your basic life insurance benefit is paid to your beneficiary upon your death, regardless of the reason for your death. Please see "Beneficiaries" for more information about naming a beneficiary.
The Basic Life Insurance Plan is provided through an insurance policy issued by The Prudential Insurance Company of America.
Reduction of Benefits
If you continue to work for JPMorgan Chase after you reach age 65, you may continue to participate in the Life and Accident Insurance Plans, as long as you are actively employed and meet all eligibility requirements. Please note, however, that your basic life insurance is reduced to 70% of the original principal lump sum beginning the January 1 following the year in which you reach age 65 and is reduced to 50% of the original principal sum beginning the January 1 following the year in which you reach age 70. No increases in coverage can be made once you reach age 70.
Accelerated Benefit Option
If you or your covered spouse/domestic partner is diagnosed with a terminal illness that's expected to result in death within 12 months, theterminally ill person can apply for an accelerated benefit option equal to 75% of his or her coverage amount (combined supplemental term life insurance and basic life insurance) up to $500,000. This benefit applies to basic life insurance, employee supplemental term life insurance, and spouse/domestic partner supplemental term life insurance.
Upon payment of this benefit, the covered person's life insurance is reduced by the amount approved for payment. Supplemental term life insurance contributions will be reduced to reflect the new lower coverage amount. Accelerated benefit option payments are excluded from your gross income and, therefore, are exempt from federal income tax. Please see your tax advisor regarding any other tax consequences. Upon the covered person's death, the reduced amount of life insurance will be paid to the beneficiary. Please see "Beneficiaries" for more information.
Imputed Income
Under the Internal Revenue Code, JPMorgan Chase must report as income the value of any company-provided basic life insurance in excess of $50,000. This value is called "imputed income," and it becomes part of your taxable income reported on your W-2. If your benefits pay is greater than $50,000, you can choose to limit your basic life insurance amount to $50,000 to avoid imputed income. If you do that, your coverage amount will remain fixed at $50,000 even if your benefits pay increases.
Please Note: If you choose to limit the amount of your basic life insurance, you will need to satisfy evidence of insurability (EOI) to increase coverage at a later date. Please see "Evidence of Insurability" for more information.
Conversion
Your basic life insurance ends on the date your employment with JPMorgan Chase ends or when severance payments end (if applicable). You may convert your basic life insurance to an individual policy within 31 days of the coverage termination date by calling Prudential directly at 1-877-889-2070.
Business Travel Accident Insurance
Business travel accident insurance, provided under an insurance policy with the National Union Fire Insurance Company of Pittsburgh, PA, is designed to protect you in the event of death or serious covered injury caused by an accident that occurs while traveling on business for the company. In addition, this insurance covers you if death or a serious covered injury occurs as a result of a criminal act of violence directed at you on banking premises or as a result of a criminal act of violence against you while you're traveling on company business.
JPMorgan Chase provides you with business travel accident insurance equal to six times your annual salary, with a minimum benefit of $50,000 and a maximum of $3 million, at no cost. However, if you're paid on an hourly basis, annual salary is based on the monthly average of amounts paid to you by JPMorgan Chase as hourly wages during the previous 36 months. The monthly average is then multiplied by 12 to determine your annual salary. Annual salary excludes any overtime earnings, bonuses, or other extra compensation arrangements.
Please Note: Separate definitions other than what is described here may apply to employees in certain sales positions who are paid on a draw-and-commission basis. If this situation applies to you, you will be notified.
What Is Not Covered
Business travel accident insurance benefits are not payable for loss or death that results from:
  • Normal commutation between your home and JPMorgan Chase, except when transportation services are discontinued due to a strike or major breakdown of one or more public transportation systems that you regularly use;
  • Scheduled vacation (except for war risk coverage if the vacation immediately precedes or follows a business trip);
  • Riding in any aircraft owned (other than a corporate-owned aircraft), operated, or leased by or on behalf of JPMorgan Chase unless a specific written agreement has been obtained from National Union Fire Insurance Company;
  • Suicide or any attempted threat by you, or intentional self-destruction;
  • Declared or undeclared war, or any act thereof, in the United States or your country of permanent residence;
  • The commission of or attempt to commit a felony; or
  • Service in the military, naval, or air service of any country.
This list is subject to change at any time.
SurvivorSupport® Financial Counseling Service
If you die while actively employed or while receiving long-term disability (LTD) benefits, JPMorgan Chase provides your key adult survivor with financial planning services at no cost. These services are provided by the Ayco Company, a nationally recognized financial consulting firm, for a period of six months after your death to your surviving spouse or other key adult survivor. (Ayco does not sell any products or services.) Services include assistance with:
  • Settling the estate;
  • Cash-flow planning;
  • Income-tax counseling; and
  • Insurance and estate planning.
Participants receive comprehensive, objective financial counseling from experienced Ayco counselors familiar with JPMorgan Chase's benefits. The counselor coordinates the efforts of the participant's attorney, accountant, insurance agent, and/or broker to develop a strategy and implement it. Participants receive:
  • A one-on-one counseling session with an Ayco counselor in which financial concerns will be identified and resolved. Family members, attorneys, and other support people are encouraged to attend. Additional meetings may be scheduled, depending on the complexity of the issues.
  • A personalized financial plan to help organize the steps to take now and in the future.
  • The SurvivorSupport® Reference Guide — an interactive workbook that includes step-by-step worksheets, tables, and illustrations to help the participant evaluate relevant aspects of his or her financial situation.
  • Direct toll-free telephone access to financial counselors for six months following the initial session.
  • Monthly telephone follow-up.
This list is subject to change at any time.

Benefits Effective January 1, 2008.