New Jersey § 18a:66-179

§ 18a:66-179.

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

or reducing because the participant has ceased to be in 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 life

insurance terminating because of termination of the group policy, 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 the participant dies

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

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

the conversion privilege shall be paid as a claim under the group policy. When benefits payable upon the death of a participant following retirement are determined

as though the participant had not retired, the death benefits payable under the group

policy or policies, together with the amount of life insurance paid under any individual

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

of insurance for which the participant was insured under the group policy or policies

immediately prior to the date the right of conversion arose. If any participant has exercised the conversion privilege under the group policy

or policies while on leave of absence or upon termination of employment, when he again

becomes a participant of an alternate benefit program and the individual policy obtained

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

for any of the group life insurance provided under such policy or policies unless

he furnishes satisfactory evidence of insurability.