Frequently Asked Questions
About Federal Employee Group Life Insurance (FEGLI)
What is FEGLI
The Federal Government established the Federal Employees’ Group Life
Insurance (FEGLI) Program on August 28, 1954. It is the largest group
life insurance program in the world, covering over 4 million Federal
employees and retirees, as well as many of their family members. FEGLI
provides group term life insurance. It consists of Basic life insurance
coverage and three options. In most cases, if you are a new Federal
employee, you are automatically covered by Basic life insurance and
your payroll office deducts premiums from your paycheck unless you waive
the coverage. In addition to the Basic, there are three forms of Optional
insurance that you can elect.
What does “Open Season” mean?
“Open Season” is the period allowing you to change your benefits such
as: increasing benefits, decreasing benefits or adding family members.
Do I have to wait for the next “Open Season” to replace or cancel
my FEGLI Option “B” benefits?
No. You may cancel life insurance coverage at any time. However, you
should be aware that your opportunities to re-enroll are limited.
I am a Federal employee. How do I cancel (waive) or reduce my coverage?
Unless you assign your life insurance, you may cancel (waive) your
Basic insurance at any time.
Is FEGLI Expensive?
Yes. The comptroller General of the United States reported on April
7, 1986, that private sector insurance programs typically provide greater
coverage at much less cost to the employees than FEGLI program.
Is FEGLI Inferior?
YES! The Government Accounting Office reported in April of 1986 that
the FEGLI program is inferior to many private plans
Is FEGLI financially backed by the Federal Government?
No. A large group of private insurance companies underwrites the group
Who pays for optional FEGLI coverage?
Postal and most other Federal employees pay the full cost of the additional
Who pays for basic FEGLI coverage?
If you are a non-postal Federal employee, the cost of the basic insurance
is shared by you as the employee and the Federal Government as the employer.
If you are a postal employee, the U.S. Postal Service contributes 100%
of the basic life insurance cost.
Does FEGLI Basic Life Insurance decrease over time?
YES it can! You have 3 options to chose from at retirement. FEGLI Basic
Life insurance #1, reduces 2% per month after the insured reaches age
65 to 25% of the original amount, #2, reduces to 50% of the basic amount
and you pay a premium for the rest of your life, #3, NO REDUCTION and
you pay a higher premium for the rest of your life.
If I change employers, can I retain my FEGLI coverage?
NO! Not in its current form.
About the fegli.net Calculator
What is the fegli.net calculator?
The fegli.net calculator provides cost effective alternatives to Federal
Employee Group Life Insurance (FEGLI) Option “B” coverage for
federal and postal employees.
How does it work?
After submitting the form, the calculator
generates the cost of 20 years worth of FEGLI Option “B”
coverage, and compares that to the 20-year costs of the most compettitive
Term Life Insurance policies from TermUSA.com.
The comparison includes a year-by-year cost analysis, and calculates
the potential savings over FEGLI Option “B” costs in
Why can’t I access some of the pages?
Your browser needs to be set to accept cookies, in order for fegli.net
to run correctly. In Internet Explorer, select the menu:
Tools > Internet Options > and then
click the “Privacy” tab
Click the “Advanced” button and make sure the box
for “Always allow session cookies” is checked.
You should now be able to generate a
comparison and access all of fegli.net
Who runs fegli.net?
Fegli.net is a service of TermUSA.com,
America’s Term Life Insurance Shopper.
Fegli.net is not affiliated with the U.S. government or the
Office of Personnel Management.