Executive Life and Accidental Death & Dismemberment Insurance Program Summary – Applied Materials, Inc.
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Summary
Applied Materials, Inc. provides its executive officers with life insurance policies, accidental death and dismemberment (AD&D) insurance, and travel accident insurance. The life insurance offers a death benefit equal to two and a half times the officer’s base salary plus the average of the last three years’ incentive awards. Applied pays the annual premium for coverage up to $300,000, which is treated as taxable income to the officer; any premium above that is paid by the officer. AD&D insurance covers up to two and a half times base salary, capped at $250,000, and travel accident insurance provides $500,000 in coverage.
EX-10.33 3 ait-2017630x10kexx1033.htm EXHIBIT 10.33 Exhibit
EXHIBIT 10.33
LIFE AND ACCIDENTAL DEATH AND DISMEMBERMENT INSURANCE
Applied maintains life insurance for its executive officers. The program utilizes individual term life insurance policies that are owned by the officer and that provide death benefits equal to two and one-half times the officer’s base salary plus the average of the most recent 3 years of annual incentive awards. The annual premium for coverage up to $300,000 under such policies is paid by Applied and treated as a taxable bonus to the covered officer. The premium for coverage in excess of $300,000 under such policies is paid by the officer.
Applied maintains accidental death and dismemberment insurance for its executive officers, providing benefits up to two and one-half times the officer’s annual base salary, but in no event more than $250,000. Applied also provides its executive officers with travel accident insurance in the amount of $500,000.
