Should you keep FEGLI Basic after you retire?
Because keeping Federal Employee Group Life Insurance (FEGLI) coverage post-retirement can be an expensive choice, be sure to look into the various options available to retirees. Keeping all of the coverage, half the coverage, or dropping the insurance entirely are avenues worth exploring because maintaining a FEGLI policy could be wise dependent on one's health and eligibility for a private plan. A surprising amount of federal retirees, however, overlook the available possibility of keeping 25% of FEGLI basic coverage at no cost in retirement.
There are several nuanced technicalities to consider, but having some life insurance coverage without the obligation of paying any further premiums can be enticing.
Until Next Time,
**Written by Benjamin Derge, Financial Planner. The information has been obtained from sources considered reliable but we do not guarantee that the foregoing material is accurate or complete. Any opinions are those of Benjamin Derge and not necessarily those of RJFS or Raymond James. Links are being provided for information purposes only. Expressions of opinion are as of this date and are subject to change without notice. Raymond James is not affiliated with and does not endorse, authorize, or sponsor any of the listed websites or their respective sponsors.