FEDweek

What Happens if You Assign FEGLI Policy

For various reasons, you might choose to assign—that is, transfer ownership of—Federal Employees Group Life Insurance coverage.
After making an assignment, you still have the right to:

* Continue Option C coverage, if you have it
* Elect more insurance (during an open enrollment period, by furnishing proof of insurability, or with a life event) Note: All of the new insurance – except Option C – comes under the existing assignment
* Elect a post-65 reduction at retirement for Basic insurance (however, if you elect other than 75 percent Reduction, you cannot later change to 75 percent Reduction)
* Elect a post-65 reduction at retirement for Options B and C (however, if you elect No Reduction for Option B, you cannot later change to Full Reduction)

However, after making an assignment, you cannot:

* Revoke that assignment
* Cancel or reduce insurance
* Designate a beneficiary
* Convert to a private policy when FEGLI terminates
* Elect a living benefit
* Change your post-65 reduction election for Basic insurance
* Make another assignment (unless your insurance has been reassigned back to you)
* Change your post-65 reduction election for Option B from No Reduction to Full Reduction

After you assign your insurance, the assignee has the right to:

* Cancel or reduce insurance
* Change a post-65 reduction election for Basic insurance to 75 percent Reduction (unless you had previously elected a partial living benefit)
* Designate and change beneficiaries
* Convert to a private policy when FEGLI terminates
* Reassign the insurance
* Change your post-65 reduction election for Option B from No Reduction to Full Reduction

An assignee cannot:
* Increase the amount of insurance
* Elect a living benefit
* Make the original post-65 reduction elections
* Take any action regarding your Option C coverage, if you have it

Change your post-65 reduction election for Option B from Full Reduction to No Reduction