Converting to an
Individual Policy
If you have assigned your insurance, you give up your rights to
convert your coverage. Only your assignee(s) may convert your
insurance coverage.
In general you or your assignee(s), if applicable, may convert to
an individual (direct-pay) policy in an amount equal to the total
of the Basic and Options A and B you have when your coverage
ends. However, you or your assignee(s), if applicable, may not
convert if (1) you continue coverage as a retired employee or
compensationer, or (2) within 3 calendar days after your
insurance stops you return to Government service in a position
which conveys FEGLI coverage, or (3) your insurance ends because
you waive or decline coverage, or (4) the Government's FF-GLI
contract ends.
You or your assignee(s), if applicable, may also convert your
life insurance coverage upon retirement. This should be carefully
considered because the premiums will probably be higher than
those you pay under the group coverage, because those premiums
reflect the Government's contribution for Basic Life. Also, Basic
Life (75% reduction) can be continued without withholdings for
retirees age 65 and older. Refer to page 8 for information on
continuing coverage into retirement.
While it is not necessary to have a medical examination for the
purchase of an individual direct-pay policy, the following
conditions apply:
Wriften application must be made within 31 days after insurance
stops, or within 31 days of the date you or the assignee(s), if
applicable, receive the "Notice of Conversion
Privilege" (SF 2819), whichever gives you more time. Either
prior to or immediately following the loss of group coverage,
your employing office will give you or the assignee(s), if
applicable, an SF 2819 to notify you or the assignee(s), if
applicable, of the loss of group coverage and the right to
convert to an individual policy. If you or the assignee(s), if
applicable, faii(s) to request conversion information within the
31-day time limit due to a cause beyond control, or if your
employing office fails to issue an SF 2819 to notify you or the
assignee s , i applicable, of the loss of group coverage, you or
the assignee(s), if applicable, may request the Office of Federal
Employees' Group Life Insurance to consider the circumstances and
allow you or the assignee(s), if applicable, to convert your life
insurance within 6 months from the date insurance stops. Premiums
will be determined by the type and amount of the policy applied
for and the age and class of risk of the applicant on the day
following termination of group coverage.
Family members insured under Option C-Family may convert their
own coverage to individual policies (minimum coverage $1,000)
within 31 days following your death as an employee, or, during
the 31-day extension of coverage if you do not convert the
coverage during that same 31-day extension of coverage described
in the preceding section. A family member does not have the right
to convert under the other circumstances in which coverage ends,
such as divorce, a child's marriage, or a child's attaining age
22.
o The individual policy will be issued by any insurance company
you or the assignee(s), if applicable, select(s) which has been
accepted by the Office of Personnel Management as eligible and
which has agreed to issue such policies under the provisions of
the FEGLI contract. When ready to convert your coverage, you or
the assignee(s), if applicable, may request a list of eligible
insurance companies from the Office of Federal Employees'Group
Life Insurance.
· The individual policy may be for any type of life
insurance customarily issued by the insurance company you or the
assignee(s), if applicable, select(s), except term insurance,
universal life insurance or any other type of life insurance with
an indeterminate premium. The individual policy will not include
disability or accidental death or dismemberment benefits.
1 7
- The individual policy may be written for an amount equal to or
less than the amount of life insurance you have c n the date your
insurance stops.
For detailed information concerning the right to apply for an
individual conversion (direct-pay) policy, you or the
assignee(s), if applicable, should contact your employing office
or, if you are retired, your retirement system.