New Jersey § 43:6a-25

§ 43:6a-25.

Any such group policy or policies shall include, with respect to any insurance terminating

or reducing because an insured person has ceased to be in active service or has retired,

the conversion privilege available upon termination of employment as prescribed by

the law relating to group life insurance; and shall also include, with respect to

insurance terminating because of termination of the group policy resulting from a

termination of all death benefits established under sections 17 b., 19 and 20, the

conversion privilege available upon termination of the group policy as prescribed

by such law. Any such group policy or policies shall also provide that if an insured person dies

during the 31-day period during which he would be entitled to exercise the conversion

privilege, the amount of insurance with respect to which he could have exercised the

conversion privilege shall be paid as a claim under the group policy. If any member who has exercised the conversion privilege under the group policy or

policies again becomes a member of the retirement system, and the individual policy

obtained pursuant to the conversion privilege is still in force, he shall not again

be eligible for any of the death benefits provided by sections 17 b., 19 and 20, unless

he furnishes satisfactory evidence of insurability. When benefits payable upon the death of a member following retirement are determined

as though he were an active member at the time of his death, the death benefit payable

under the group policy or policies together with the amount of insurance paid under

any individual policy obtained under the conversion privilege, shall in no event exceed

the amount of insurance for which the member was insured under the group policy or

policies immediately prior to the date the right of conversion arose.