What is Option B on FEGLI?

What is Option B on FEGLI?

FEGLI Option B is essentially term insurance – with a guaranteed renewable five year term. This plan in particular can insure you for as much as 1, 2, 3, 4, or even 5 times your Annual Salary rounded up to the nearest $1,000.

How is FEGLI Option B calculated?

To figure out your BIA, take your current salary and round it up to the nearest $1,000, then add $2,000 to it. This is your Basic Insurance Amount. FEGLI costs 15¢ per $1,000 of your BIA. So if, for example, you have a $84,500 salary, then you have coverage for $87,000.

What does multiples mean in life insurance?

You, as the insured enrollee, receive the life insurance payment when an eligible family member dies. Each multiple is a unit. For example, if you elect two multiples, that means you have two multiples on your spouse and two multiples on each of your eligible dependent children.

How do I cancel my FEGLI option B?

You may reduce or cancel your FEGLI coverage at any time by completing the Life Insurance Election Form, SF 2817, and submitting it to the Retirement and Employee Benefits Branch (REBB) at 31 Center Drive, Bldg 31/Rm 1B37, Bethesda, MD 20892-2215.

How do I cancel FEGLI Option B?

What is Option C in FEGLI?

This option offers family coverage to federal employees covered under FEGLI Basic. Option C provides up to 5 Units, or $5,000 for a spouse, and up to 5 units, or $2,500, for each child. Note: coverage for a child is considered an unmarried dependent under the age of 22.

What is death benefit B?

Death Benefit Option B is the face amount plus the cash value. In Option A, more of your payment goes toward building the cash value; in Option B, more goes toward raising the death benefit through investing.

How do I cancel my FEGLI Option B?

What is Option A on FEGLI?

Option A allows any employee who is covered under Basic Insurance to buy an additional $10,000 of coverage. The premiums for Option A vary by age. It starts at $0.30 bi-weekly for each $1,000 of coverage and ends at $6.00 for each $1,000 if you are 60 or older. The monthly rates are $0.65 for every $1,000 up to $13.00.

How much is FEGLI Option A?

Is FEGLI life insurance a good deal?

For many people, FEGLI is the best (or only) option available. If you are healthy and have a need for a higher level, though, it often makes sense to look elsewhere for an appropriate plan. If that is the case, be sure to leave your current FEGLI coverage in place until a new policy is issued and in force.

Is FEGLI basic a good deal?

Keeping full coverage can become considerably expensive, but if you are suffering from a life-threatening illness, maintaining FEGLI-Basic probably makes a ton of sense. As for reducing it, FEGLI coverage can be cut by 50% for a cheaper price, or slashed by 75%.

How much does FEGLI Option C cost?

Premium Costs

What is the difference between option A and option B for universal life?

Universal life has two basic death benefit options. Option A is a level death benefit, called the specified or face amount. Option B is the face amount plus the cash value. In Option A, more of your payment goes toward building the cash value; in Option B, more goes toward raising the death benefit through investing.