Raytheon took away grandfather life insurance (52 Years of service)

[Concerned78]

What is the name of your state (only U.S. law)? Massachusetts

Hello, I hope that I am posting this in the proper section. Please forgive if I am not.


My grandfather was let go from Raytheon, after 52 years of service, for , apparently, over-spending. Not only did they let him go, but they took away he and my grandmothers life insurance.

He was clearly past due for retirement, but I was wondering, can they do that? And if so, is there anything that can be done?

He has always been a very hard working man, and he is a Navy Vetran.

 

[Some Random Guy]

My grandfather was let go from Raytheon....Not only did they let him go, but they took away he and my grandmothers life insurance.

They didn't 'take away' his insurance (life stealing his car). They stopped providing it (like cancelling a magazine subscription). As an employee, the company offered life insurance as a benefit. Once he is no longer an employee, he doesn't get that benefit.

He is free to pursue his own individual life insurance plan. However, I would expect that term life insurance may be significantly more costly at his age than it was when provided as part of a group employer plan.

 

[pattytx]

Even if life insurance was provided for retirees, he didn't retire. It's slightly possible that the plan provides for some type of conversion, but also agree with the prior responder that the cost will likely be high.

 

[applecruncher]

Contrary to the title of your thread they did not “take it away” – they stopped providing it. (By the way, not a good idea to use actual name of company). He is free to purchase how own private life insurance.

Him being hard-working and a Navy veteran is irrelevant.

 

[Zigner]

Him being hard-working and a Navy veteran is irrelevant.

...but definitely commendable.

 

[Beth3]

My grandfather was let go from Raytheon, after 52 years of service, for , apparently, over-spending. Not only did they let him go, but they took away he and my grandmothers life insurance.

Your grandfather was let for for "overspending"? Could you clarify what you're talking about? Are you saying he was terminated for some sort of misconduct?

Typically, when employment ceases, benefits provided by the employer cease as well.

 

[cbg]

Group life insurance is almost invariably term life. Term life rarely if ever continues beyond approximately 70 years of age.

If your grandfather worked for the same employer for 52 years, it's entirely possible that this benefit would have ended soon regardless of his employment status.

In any case, there is no law prohibiting an employer from withdrawing a life insurance benefit when the employee no longer works for them, and it would be unusual in the extreme for them to do anything else. As others have said, some form of conversion may be possible but would likely, at his age, be quite costly.