FEGLI
Federal Employees’ Group Life Insurance – affordable group term life insurance for federal employees and retirees
What is FEGLI?
The Federal Employees’ Group Life Insurance (FEGLI) Program is the largest group life insurance program in the world. It provides term life insurance coverage to more than four million federal employees, retirees and family members at competitive group rates. Basic insurance equals the greater of your annual basic pay rounded up to the next $1,000 plus $2,000 or $10,000, whichever is higher. The federal government pays one‑third of the Basic premium (the U.S. Postal Service pays the full cost for postal employees), and coverage includes an Extra Benefit that doubles the Basic amount for employees under age 35 (declining 10 % each year until age 45) and accidental death and dismemberment (AD&D) coverage at no additional cost.
Why FEGLI Matters
Affordable Coverage: Group rates and government cost‑sharing make Basic coverage inexpensive (about $0.16 per $1,000 of insurance)
Extra Benefit & AD&D: Basic coverage doubles for employees under age 35 and includes accidental death and dismemberment protection at no additional cost
Family Protection: Optional coverage for your spouse and dependent children is available through Option C
Continuation Into Retirement: Coverage can continue after retirement; your decisions before leaving service are generally irrevocable
FEGLI Coverage Options
Choose the coverage that meets your family’s needs
Basic Insurance
Coverage Amount
Greater of (Annual basic pay rounded up to next $1,000 + $2,000) or $10,000
Example: $65,200 salary → round to $66,000 + $2,000 = $68,000
- Automatic enrollment upon hiring
- No medical exam required
- Includes Extra Benefit (doubles coverage under age 35) and AD&D protection
- Government pays one‑third of the cost
Option A – Standard
Coverage Amount
Fixed $10,000 of additional insurance
- No medical exam required if you enroll within 60 days of employment
- Premiums based on your age
- Must have Basic insurance to elect Option A
Option B – Additional
Coverage Amount
1 to 5 multiples of your annual pay
Example: 3× $65,000 salary = $195,000 Option B coverage
- Select from one to five multiples
- Premiums increase with age and number of multiples
- Requires Basic insurance
Option C – Family
Coverage Amount per Multiple
- Spouse: $5,000
- Each Child: $2,500
- Choose one to five multiples of coverage
- Covers spouse and all dependent children
- Premiums based on your age, not the number of children
- Basic insurance required
FEGLI in Retirement
Decisions that affect your coverage after you retire
Important: Retirement Elections
Your decisions about FEGLI coverage at retirement are generally permanent. Decide how much of your Basic and optional coverage you wish to carry into retirement before you separate from service.
Retirement Coverage Choices
Continue Full Basic Coverage
Keep your full Basic coverage into retirement by paying level premiums. This option is the most expensive but retains your entire Basic benefit amount.
- No reduction in coverage
- Premiums continue and may increase with age
Highest Cost
50 % or 75 % Reduction
Elect to reduce your Basic coverage to 50 % or 75 % of the pre‑retirement amount. Premiums stop at age 65, but coverage reduces over time until it reaches the elected percentage.
- Premiums end at age 65
- Provides ongoing, reduced coverage at no cost after age 65
Moderate Cost
75 % Reduction (25 % Remaining)
If you elect a 75 % reduction, your coverage begins to decrease by 2 % each month starting at age 65 until it reaches 25 % of the pre‑retirement amount. No premiums are required for the remaining coverage.
- No premium after age 65
- Greatly reduced death benefit
Lowest Cost
Enrollment and Eligibility
When and how to enroll in FEGLI coverage
Automatic Enrollment
Most federal employees are automatically enrolled in Basic insurance on their first day of service. You have 60 days to waive Basic coverage or elect optional coverage. If you decline Basic, you cannot elect any other options.
Eligibility
- Most permanent federal employees
- Members of Congress and federal judges
- Temporary employees with appointments of one year or less are generally not eligible
Changing Your Coverage
Open Seasons
OPM occasionally holds FEGLI open seasons during which you may enroll in or increase coverage without a qualifying life event. Open seasons are rare and announced in advance.
Qualifying Life Events
- • Marriage or divorce
- • Birth or adoption of a child
- • Death of a spouse or child
- • Substantial change in your spouse’s employment or insurance
Key Considerations
Age & Cost
Premiums for optional coverage increase every five years as you age. Evaluate whether a private policy may offer better long‑term value.
Retirement Planning
Decide which reduction option you will elect for Basic insurance before you leave service. This choice cannot be changed after retirement.
Beneficiary Designations
Keep your FEGLI beneficiary designation (SF‑2823) current. Life events such as marriage, divorce or the birth of a child may warrant updates.
Make Smart FEGLI Decisions
FEGLI can provide valuable protection for your loved ones. Understanding coverage options, premiums and retirement election rules will help you make informed, confident decisions.
1 Basic insurance amount, Extra Benefit and government contribution details are from the U.S. Office of Personnel Management’s FEGLI calculator employee summary.
2 Option A, B and C coverage descriptions and premium rules are drawn from OPM’s FEGLI program guidance.