As a Virginia Retirement System (VRS) Employer, the City of Portsmouth provides Basic Life Insurance through Minnesota Life. The life insurance benefit equals two times your annual salary. Group term life insurance in excess of $50,000 for employees is considered by the I.R.S. to be a benefit that is taxable as income. Section 79 of the Internal Revenue Code requires employers to calculate taxable income for employees which must be reported on the W-2 form.
We also offer employees the option to enroll in an Optional Life Insurance plan up to 4 times your annual salary. This optional benefit is totally voluntary and therefore employees pay for the entire cost of that particular plan. The cost is based on your age and you can also elect to cover your spouse and any dependents under the age of 21. As long as you enroll in this benefit within 31 days of employment, you are guaranteed coverage for yourself…regardless of your medical condition. Remember - evidence of insurability will be required unless you enroll when you are initially hired.
If Group Life Insurance Plan (PDF).