Benefits and Features


What is WrapPlan®II and why do I need it?

WrapPlan®II flexible premium adjustable life insurance (Universal Life Insurance), is a NYSUT Member Benefits Trust-endorsed program available to all NYSUT members, their spouses/domestic partners and their eligible children. This unique product was designed especially for NYSUT members to "wrap" around your existing term life plan - regardless of whether it is a NYSUT Member Benefits Trust-endorsed policy, employer-provided term or any other term policy - to create a competitive way to offset the inevitable age-related benefit reductions, premium increases, or policy termination due to separation from service. WrapPlan®II may be structured to increase by 50% when your term life insurance decreases (usually at age 65) or when it terminates, thus restoring full coverage. Example: If you have a $50,000 term policy which decreases by 50% at age 65, you are left with only $25,000 of coverage. Attempting to convert or purchase additional insurance at this age can be very costly; and, if you have health issues, it may not be possible to obtain insurance at all. If you purchased a WrapPlan®II policy, your Immediate Coverage Amount would be $25,000 and the Guaranteed Increase Amount, which would take effect when you attain age 65, would be an additional $25,000, providing you with a total coverage amount of $50,000 and restoring your full coverage amount without conversion premiums or additional medical requirements. Level benefit coverage is also available if you do not have existing term life insurance.

Therefore, when you need coverage the most, You will have it ...
Without higher premiums, reductions in benefits, and regardless of health status!


WrapPlan®II is a group flexible premium adjustable life insurance policy underwritten by Transamerica Financial Life Insurance Company, Harrison, New York. Policy form numbers FPWRAPUL AND FCWRAPUL. WrapPlan®II is a NYSUT Member Benefits Trust (Member Benefits)-endorsed program. Member Benefits has an endorsement arrangement of 6.5% of first-year premium and 0.195% of renewal premium, with a guaranteed annual minimum amount of $100,000 for this program. All such payments to Member Benefits are used solely to defray the costs of administering its various programs and, where appropriate, to enhance them. Member Benefits acts as your advocate; please contact Member Benefits at 800-626-8101 if you experience a problem with any endorsed program. EBD KBNYSUTWEB 1116-26009559

A Brief Summary of the Benefits and Features of WrapPlan®II

  • Guaranteed Interest Rate: The guaranteed minimum tax-deferred interest rate is 4.00% on accumulation account values after mortality charges and expenses.

  • Portability: You can maintain your coverage at the same rates if you leave your job for any reason.

  • Waiver of Monthly Deductions for Total Disability Rider: The monthly deductions will be waived for policy owners who become totally disabled for six consecutive months or longer while covered under this rider. The rider is available to applicants age 55 or younger on the policy effective date. Coverage under this rider terminates at age 60 unless the insured is totally disabled at such time. Rider Form No. FRDWMDNY

  • Accelerated Death Benefit for Terminal Illness Rider: This rider allows the insured member to access up to 50% (up to $100,000) of the life insurance death benefit if diagnosed with a terminal illness, which has a life expectancy of 12 months or less. Rider Form No. FRABTINY

  • Policy Loans: You may borrow against your certificate's accumulation values which are available at a net interest rate of 2%.

  • Convenient Payment Options: Payroll deduction (where available); pension deduction; automatic checking account withdrawals; credit card; and, direct billing which is available on a quarterly, semi-annual or annual basis.

  • “Free-Look” Period: When you receive your policy, you will have 30 days to review it. If you decide you do not want the coverage, the policy may be canceled and any premiums collected will be refunded in full.

The above list presents a brief description of some of the features and benefits available with WrapPlan®II. Please consult your certificate and riders for complete details as limitations and exclusions apply.


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