FEGLI Options

You must have Basic Life Insurance coverage to be eligible for FEGLI’s three Optional Insurance offerings: Option A (Standard Optional Insurance), Option B (Additional Optional Insurance) and Option C (Family Optional Insurance). You must actively elect your Optional coverage and you must pay the full cost for all Optional coverage you select.

FEGLI Option A (Standard Optional Insurance):

FEGLI Option A (Standard Optional Insurance) gives you an additional $10,000 worth of coverage. The costs are outlined in the table below:

FEGLI Option B (Additional Optional Insurance)

FEGLI Option B (Additional Optional Insurance) allows the federal employee to elect up to 5 times their base salary rounded to the next thousand in additional coverage. The employee must pay the entire cost. Costs are per thousand dollars of coverage and are based upon the employee’s age. Costs increase every 5 years beginning at age 35. See chart below.
Withholding costs per $1,000 are outlined in the table below:

Costs for FEGLI Option B can get very expensive over time. It is always important to look at all of the options to see what is available in order to potentially reduce costs.

FEGLI Option B Comparison

Here is an example of a FEGLI Option B comparison and the potential cost savings. Let’s use a 45 year old female federal employee in great health, Jane Smith. Jane has a base rate of pay of $50,001 and has elected 5 times Option B. Here total coverage under Option B is $255,000. Costs for this coverage both currently and over time are shown in the chart below:

Over the next 20 years Jane’s total costs will be $31,824.60 and over the next 30 years $112,042.80.

When comparing these costs to those of a highly rated insurance company over the same period of time, Jane will be able to save about $25,000 over the next 20 years and $96,000 over the next 30 years.

Click here for a FREE analysis and to see which options you may qualify for and what your comparison looks like.

FEGLI Option C (Family Optional Insurance):

FEGLI Option C (Family Optional Insurance) allows the federal employee to elect coverage for their eligible family members: spouse and dependent children (including adopted children, stepchildren or recognized natural children who live with you or are receiving substantial support from you). To receive coverage, a child must be under 22 years of age and unmarried, or if over 22, must be incapable of self-support because of an existing (prior to age 22) mental or physical disability.

Coverage can be elected in units: $5,000 for your spouse and $2,500 for each child. The federal employee may elect up to five (5) units of coverage.

Costs are based upon the the amount of units elected and the federal employee’s age. Costs increase every 5 years beginning at age 35. See chart below: