So the 20 + 10 was just to extend your 30yr? So you'd be covered for 60 years total? Was it more cost-effective doing it this way as well?
No. The start date of the three "policies" is the same. If I die in the first ten years after the policies begin, three "policies" pay out and my family receives $XXX. If I die between 10 and 20 years after coverage starts, two "policies" pay out and my family receives $XX. If I die between 20 and 30 years after coverage starts, one "policy" pays out and my family receives $X. My thinking is that our wealth will accumulate over time (knock on wood) and we will have less need for life insurance the longer I live. By 30 years out, I shouldn't need any insurance.
Edit to add: I think it was more cost effective than purchasing three different policies somewhere else. Its kind of hard to comparison shop for life insurance because of the physical exam requirements. I probably could have shopped around more than I did, but from the handful of places I looked, this seemed to be the best bet. I wanted to buy all of the life insurance I will ever need in one shot while I am young and inexpensive to insure, rather than buying a big policy now only to need to go back and reevaluate in the future.
Regarding whether or not the benefit gets terminated - it sounds like it does. Despite the fact that the company offers life insurance services themselves, they use a different group to provide these benefits for employees and they will terminate upon termination of the job. The HR rep did say that per COBRA, I could carry over the coverage but I don't think that's the same and it seems like I'd still be better off purchasing independently.
Oh the HR rep also said that now is the only time I could enroll without having to do a health check screening/exam for qualifying for whatever insurance I want to buy. Not sure if that's a huge deal other than avoiding an additional inconvenience
Yeah, you might be better off purchasing independently. The younger/healthier you are when you purchase insurance, the lower your premiums will be. If you were to go with your employer's coverage, your biggest risk is that you would become uninsurable (because of illness, for example) while employed by your current employer and then need to leave your current job. If that happened you could find yourself without coverage and unable to purchase replacement coverage.