Expert's View

In my last two articles, I offered a refresher course on Basic and Optional insurance available through the Federal Employees’ Group Life Insurance program. In them I pointed out that Basic coverage is automatic unless you waive your right to the coverage, and that you can’t sign up for Optional coverage unless you are carrying Basic coverage.

Well, although there aren’t all that many people who waive their coverage there are enough of them to make it imperative that I describe the circumstances under which those employees can become covered at a later date.

Open Season

At unpredictable intervals, the Office of Personnel Management holds an open season during which those employees who are not currently covered by FEGLI can enroll. Unfortunately, these are few and far between; the last was in 2004. And they normally occur when there are changes in the program’s provisions.

Proof of Insurability

As long as a full year has gone by since you last waived your right to FEGLI coverage, you can enroll as long as you provide medical evidence of your insurability at your own expense. To do this, you’ll have to fill out a copy of Standard Form 2822, Request for Life Insurance. It’s available online at www.opm.gov/insure/life/pubslist/sf2822.asp.

Once you have the form in hand, you’ll need to take it to your personnel office, which will complete its part of the form. Then you’ll have to take it to your doctor, who, after examining you, will complete the form and send it to the Office of Federal Employees’ Group Life Insurance.

If your request is approved, you’ll automatically be covered by Basic insurance. On the other hand, if you already have Basic insurance and only waived your right to enroll in one or more of the Optional insurances, you will be given 31 days to do one of the following: elect Option A (Standard) and/or Option B (Additional Optional) or increase your Option B multiples. To do that, you’ll have to complete a copy of SF 2817, Life Insurance Election, and take it to your personnel office. You can download a copy at www.opm.gov/insure/life/pubslist/sf2817.asp. Note: You can’t elect Option C (Family) coverage by providing evidence of medical insurability.

Qualifying Life Events

The term “qualifying life event” applies to such things as marriage, divorce, the death of your spouse, and the birth or adoption of a child. If you are an employee who is already covered by Basic insurance, you may either elect Option B or C coverage or increase the amount of that coverage. But you’ll have to do that within 60 days of the qualifying event. You can do it by filling out a copy of SF 2817, Life Insurance Election and submitting it to your personnel office. Note: You can’t elect Basic or Option A coverage because of a qualifying life event. As noted above, you’ll have to provide evidence of medical insurability to do that.

If you do elect FEGLI Basic, Option A or Option B or increase your coverage, make sure that you check your designation of beneficiary. If you die, the proceeds will only be paid to the beneficiary you designated on a Standard Form 2808 (CSRS) or 3102 (FERS).