FEGLI For Reemployed Annuitants

So you decided to hang up your federal employment boots and enjoy retirement benefits such as Fegli Reemployed Annuitant. But then you get lured back into the federal workforce, whether by want or need or the call of duty. Whatever the reason, one of the things you have to sort out here will be about your life insurance coverage.

The critical factor in such situations is whether your annuity is terminated as a condition of your reemployment. If so, that concludes your insurance as well.

If your annuity continues during your reemployment, you are then in an excluded position. All of your coverage is still active, and you cannot transfer it to your employment or add more coverage as an employee. Note that your coverage remains intact even if your annuity is suspended for the duration of your reemployment, as opposed to being terminated permanently.

No FEGLI Post-65 Reductions For Reemployed Annuitant

You will be automatically enrolled into FEGLI when you re-enter the federal workforce if your position makes you eligible for it. However, the coverage amounts and rates will be based on your new employment and will differ from the coverage you had as an annuitant.

This applies even if you are aged 65 and above. Your life insurance coverage will not be subjected to the post-65 reduction, which is only applicable for annuitants. In this case, withholdings will be made from your pay based on your age bracket just like all other federal employees paying their FEGLI premiums. Similarly, your employing agency will make the government contribution instead of OPM paying the full amount.