Here is all you need to know about FEGLI, a benefit for federal employees. Normally, you are automatically covered by Basic Life insurance unless you opt out. There are 3 optional insurances you can choose, but you must be on the basic before electing any other option.
Basic Life Insurance
Your Basic Insurance Amount (BIA) is equal to your annual basic pay rounded up to the next $1,000 plus $2,000. You get extra benefits if you are 45 without additional cost. You get double life insurance benefits until age 36 when it then decreases at 10% annually until you’re 45 when the extra coverage ends.
- Option A—Standard – This option is available in the amount of $10,000.
- Option B—Additional – Option of 1 to 5 multiples of your basic annual pay rounded up to the nearest $1,000
- Option C—Family – You may elect 1 to 5 multiples of coverage for spouse and eligible dependent children. Each multiple is equal to $5,000 for your spouse and $2,500 for each of your eligible dependent children. Eligible children must be dependent, unmarried and under age 22 or if older than 22, incapacitated due to disability present before the child turned 22.
Termination of Life Insurance (including Accidental Death and Dismemberment Insurance)
Your life insurance stops at whichever of the below-listed events that occur first:
- When you leave the service.
- The end of a period of a continuous 12 months (or broken by periods of less than 4 consecutive months of pay) in a non-pay status.
- At the end of the last pay period where your agency withheld life insurance premiums from your pay if it determines your pay will be insufficient to cover withholdings for the next 6 months or more and you decide you don’t want to pay those premiums directly.
- At the end of the last day of the pay period, your request to cancel your insurance is received by human resources.
You can temporarily extend coverage for 31 days after termination unless you cancel coverage, or your annuity or workers’ compensation benefits terminate. Temporary coverage doesn’t include AD&D Insurance.
Canceling or Reducing Insurance
You may cancel Basic, Option A, B, or C, or reduce multiples of Option B and/or C at any time by completing a Life Insurance Election (SF 2817). Coverage and deductions for coverage you cancel stop at the end of the last day of the pay period in which your agency receives your cancellation request.