General FEGLI information, including FEGLI codes. Learn about the life insurance program for federal employees, including coverage options, costs, and benefits.
Understanding FEGLI Codes and Coverage: A Quick Guide for Federal Employees
Federal Employees Group Life Insurance (FEGLI) is the largest group life insurance program in the world and it is designed specifically for federal employees and their families. Understanding the basics of FEGLI coverage is essential for federal employees to make informed decisions about their individual life insurance needs. This guide aims to provide general insights into FEGLI, including information about what those FEGLI codes mean on leave and earnings statements (LES).
FEGLI Codes on Leave and Earnings Statement (LES)
See the table below for FEGLI Enrollment Codes. As a key, “Standard” means Option A, “additional” means Option B, and Family means Option C.
| FEGLI Enrollment Code | Definition |
|---|---|
| A-Ineligible A0-Ineligible-Ex by Law or Reg |
Ineligible for FEGLI |
| A1-FEGLI Cover 12 Months Nonpay | Non-pay Status |
| B-Waived B0-Waived |
Waived all FEGLI options |
| C-Basic C0-Basic |
Basic Coverage |
| D-Basic-Standard D0-Basic-Standard |
Basic + FEGLI Option A |
| E-Basic-Family E(1-5)-Basic-(1-5)X Family |
Basic + FEGLI C (1 to 5x multiplier) |
| F-Basic-Standard-Family F(1-5)-Basic-Standard-(1-5)X Family |
Basic + FEGLI C (1 to 5x multiplier) |
| G-Basic-1X Additional G0-Basic-1X Additional |
Basic + FEGLI B (pay x1) |
| H-Basic-Standard 1X Additional H0-Basic-Standard 1X Additional |
Basic + FEGLI A + FEGLI B (pay x 1) |
| I-Basic-1X Additional-Family I(1-5)-Basic-(1-5)X Additional-1X-Family |
Basic + FEGLI B (pay x 1) + FEGLI C (1 to 5x multiplier) |
| J-Basic Standard 1X Add-Family J(1-5)-Basic-Standard 1X -Add(1-5)X Family |
Basic + FEGLI A + FEGLI B (pay x 1) + FEGLI C (1 to 5x multiplier) |
| K-Basic-2X Additional K0-Basic-2X Additional |
Basic + FEGLI B (pay x 2) |
| L-Basic-Standard-2X Additional L0-Basic-Standard-2X Additional |
Basic + FEGLI A + FEGLI B (pay x 2) |
| M-Basic-2X Additional-Family M(1-5)-Basic-2X (1-5)XFamily |
Basic + FEGLI B (pay x 2) + FEGLI C (1 to 5x multiplier) |
| N-Basic Standard-2X Additional Family N(1-5)-Basic Standard-2X (1-5)X Family |
Basic + FEGLI A + FEGLI B (pay x 2) + FEGLI C (1 to 5x multiplier) |
| P-Basic Standard-3X Additional P0-Basic Standard-3X Additional |
Basic + FEGLI A + FEGLI B (pay x 3) |
| Q-Basic-3X Additional Family Q(1-5)-Basic-3X Additional (1-5)X Family |
Basic + FEGLI B (pay x 3) + FEGLI C (1 to 5x multiplier) |
| R-Basic-Standard-3X Add-Family R(1-5)-Basic-Standard-3X Add-(1-5)X Family |
Basic + FEGLI A + FEGLI B (pay x 3) + FEGLI C (1 to 5x multiplier) |
| S-Basic-4X Additional S0-Basic-4X Additional |
Basic + FEGLI B (pay x 4) |
| T-Basic-Standard-4X Additional T0-Basic-Standard-4X-Additional |
Basic + FEGLI A + FEGLI (pay x 4) |
| U-Basic-4X Additional-Family U(1-5)-Basic-4X Additional-(1-5)X Family |
Basic + FEGLI B (pay x 4) + FEGLI C (1 to 5x multiplier) |
| V-Basic-Standard-4X Add Family V(1-5)-Basic-Standard-4X Add (1-5)X Family |
Basic + FEGLI A + FEGLI B (pay x 4) + FEGLI C (1 to 5x multiplier) |
| W-Basic-5X Additional W0-Basic-5X Additional |
Basic + FEGLI B (pay x 5) |
| X-Basic-Standard 5X Additional X0-Basic-Standard 5X Additional |
Basic + FEGLI A + FEGLI B (pay x 5) |
| Y-Basic-5X Additional-Family Y(1-5)-Basic-5X Additional-(1-5)X Family |
Basic + FEGLI B (pay x 5) + FEGLI C (1 to 5x multiplier) |
| Z-Basic-Standard-5X Add Family Z(1-5)-Basic-Standard 5X-Add-(1-5)X Family |
Basic + FEGLI A + FEGLI B (pay x 5) + FEGLI C (1 to 5x multiplier) |
| 9-Basic-3X Additional 90-Basic-3X Additional |
Basic + FEGLI B (pay x 3) |
An Overview of Federal Employee Benefits: FEGLI Basic
Basic Coverage Offered by the Federal Employee Group Life Insurance Program
FEGLI, or Federal Employees Group Life Insurance, is the largest group life insurance program in the world, providing coverage to millions of federal employees. Established by the federal government in the 1950s, FEGLI offers basic life insurance coverage automatically to eligible employees upon their employment. This basic coverage is equal to an employee’s annual salary rounded up to the next $1,000, plus an additional $2,000. The program is designed to offer financial protection to employees and their families in the event of death, ensuring that beneficiaries receive a benefit that can help cover expenses and provide financial security. In addition to the basic offering, there are three types of optional insurance known as options A, B, and C.
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Example of Basic FEGLI Coverage Calculation
As stated above, the amount of basic FEGLI coverage is calculated based on the employee’s annual salary. The salary is rounded up to the next $1,000, and an additional $2,000 is added to determine the total coverage amount. For example, if an employee’s annual salary is $47,500, the basic coverage amount would be $50,000 (rounded up from $47,500) plus $2,000, totaling $52,000. This calculation ensures that employees have a baseline level of coverage that reflects their income and provides a measure of financial security for their beneficiaries.
Premiums and Benefits for FEGLI Basic Life Insurance
Premiums for basic FEGLI coverage are determined based on the employee’s age and salary with costs increasing as the covered fed gets older. The federal government subsidizes a portion of the premium cost, making it an affordable option for most employees, especially at younger ages. Premiums are deducted from the employee’s paycheck, ensuring that coverage is maintained without the need for additional payments. The cost of basic coverage is generally lower than that of optional coverage, making it an attractive choice for employees seeking essential life insurance protection. For those aged 35 and younger, FEGLI Basic provides double death benefits and costs considerably less. Between ages 35 and 45, the benefit amount gradually decreases from 2.0% to 1.0% as the table below shows:
| Employee’s Age at Death | Age Multiplication Factor |
|---|---|
| 35 or under |
2.0 |
| 36 | 1.9 |
| 37 | 1.8 |
| 38 | 1.7 |
| 39 | 1.6 |
| 40 | 1.5 |
| 41 | 1.4 |
| 42 | 1.3 |
| 43 | 1.2 |
| 44 | 1.1 |
| 45 and over | 1.0 |
Understanding Additional FEGLI Options, including How to Drop or Add Coverage
Exploring Life Insurance Coverage Options A, B, and C
Option A, also known as Standard Optional Insurance, provides an additional $10,000 of coverage and is a straightforward way for employees to enhance their life insurance protection without a significant increase in premiums. The premiums for Option A are based on the employee’s age, and the same goes for options B and C.
Option B allows federal employees to elect additional multiples of coverage, ranging from one to five times their annual salary. This option provides significant flexibility, enabling employees to tailor their coverage to meet their specific needs, which is ideal for employees who require substantial coverage to protect their families and financial interests.
Option C offers family coverage, providing life insurance for an employee’s spouse and eligible dependent children. Employees can choose from one to five multiples of coverage, with each multiple providing $5,000 for a spouse and $2,500 for each child. This option ensures that employees can extend their life insurance protection to their loved ones.
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Automatic Enrollment and How to Waive FEGLI Coverage
Once hired, federal workers are automatically enrolled in FEGLI basic, assuming they are able to do so through eligibility. The life insurance goes into effect immediately unless waived by the employee before the end of their first pay period. This can do by consulting your HR manager or payroll office. Employees are not auto-enrolled in options A, B, or C. They must elect to do so within their first 60 days of employment with the federal government to attain coverage or else go one of the other available routes, detailed in the following paragraph. FEGLI coverage can be dropped at any point, but adding coverage is another story.
Proof of Insurability, Qualifying Life Events, and Open Seasons
Choosing to drop or waive FEGLI is not a decision to take lightly because re-enrollment is restricted to specific open seasons, require evidence of insurability, or experiencing a QLE (qualifying life event). For one, FEGLI open seasons are not annual events like FEHB open seasons. Unlike the FEHB program, life insurance open seasons are irregular, short-lived, and rare. The last one occurred for one month in 2016 and that was the first FEGLI open season since 2004, 12 years prior.
Another route for adding FEGLI is to receive proof of insurability from a physician, but at that point, a private individual life insurance policy might be a better choice. And lastly, if experiencing a qualifying life event (QLE), there is a 60 day period in which coverage can be added. Qualifying Life Events include the birth (or adoption) of a child, marriage, divorce, or the death of a spouse. Note that retirement is not one these life events.
Knowledge is Confidence!
Note these coverage options are not available without Basic. It is possible to be covered by only basic (code C0), but enrollment in FEGLI basic is required to obtain FEGLI options A, B, or C.
Retiring with FEGLI Coverage and Understanding the Benefits
FEGLI Coverage for Retired Federal Employees
Upon retirement, federal employees have the option to continue their FEGLI coverage as an annuitant. Retirees can maintain their basic coverage, with the option to reduce or eliminate optional coverage. The cost of coverage may change upon retirement, and retirees must ensure that they understand the implications of continuing their coverage. If they choose to reduced Basic or FEGLI A insurance upon retirement, 25% of the death benefits can be maintained without paying any additional premiums. Reducing FEGLI B is not possible and this option can grow exponentially expensive if kept after retiring from the federal government
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FEGLI Life Insurance Payout and Living Benefits
In the event of a federal employee’s death, FEGLI benefits are paid out to the designated beneficiaries (which can be changed by the insured individual at any time). The process involves submitting a claim form along with the necessary documentation, such as a death certificate. The Office of Federal Employees’ Group Life Insurance (OFEGLI) processes the claim and disburses the FEGLI Life Insurance Payout to the beneficiaries. It is crucial for employees to keep their beneficiary information up to date to ensure that benefits are paid out according to their wishes.
If a covered individual has been diagnosed with a terminal condition, they might be able to access their FEGLI money before death. This life insurance payout is known as a “living benefit.”
Reach Out to Us!
If you have additional federal benefit questions, contact our team of CERTIFIED FINANCIAL PLANNER™ (CFP®) and Chartered Federal Employee Benefits Consultants (ChFEBC℠). At PlanWell, we are federal employee financial advisors with a focus on retirement planning. Learn more about our process designed for the career fed.
Preparing for federal retirement? Check out our scheduled federal retirement workshops. Sign up for our no-cost federal retirement webinars here! Make sure to plan ahead and reserve your seat for our FERS webinar, held every three weeks. Want to have PlanWell host a federal retirement seminar for your agency? Reach out, and we’ll collaborate with HR to arrange an on-site FERS seminar.
Want to fast-track your federal retirement plan? Skip the FERS webinar and start a one-on-one conversation with a ChFEBC today. You can schedule a one-on-one meeting here.
