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beneficiary of a covered employee is equal to the amount elected
by the employer plus the amount elected by the employee. Section
5.2(f) states that the STEP plan may name the beneficiary, or the
insured may name a beneficiary as long as the employer reimburses
the STEP plan. Section 5.2(g) states that if the employer does
not pay amounts due on the policy for the death benefit, STEP may
declare the policy lapsed or surrender the policy, or the
beneficiary will be changed to STEP. Section 5.2(h) states that
if the employer fails to make required payments, the insured may
buy the policy from STEP for the policy value.
Section 10.4(a) states that an employer can withdraw from
the STEP plan at any time and that the employees will have frozen
benefits equal to the amounts they would have been eligible for
on the dates of withdrawal. Section 10.5 states that if an
employer fails to make a required contribution, it will be
treated as if it withdrew on that date, and it will be treated
the same as in the case of a withdrawal under section 10.4.
Section 11.1 and 11.3 allows the plan sponsor to “amend,
modify or delete, in whole or in part, any provision of the Plan,
provided the duties and responsibilities of the Trustee shall not
be altered without its written consent” and states that “no
amendment or reorganization may be made to this Plan which shall
change or alter the fundamental purpose of the Plan expressed in
the preface hereto”. Section 11.2 allows the plan sponsor to
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Last modified: March 27, 2008