Sara Routhier, Managing Editor and Outreach Director, has professional experience as an educator, SEO specialist, and content marketer. She has over five years of experience in the insurance industry. As a researcher, data nerd, writer, and editor she strives to curate educational, enlightening articles that provide you with the must-know facts and best-kept secrets within the overwhelming world o...

Full Bio →

Written by

Leslie Kasperowicz holds a BA in Social Sciences from the University of Winnipeg. She spent several years as a Farmers Insurance CSR, gaining a solid understanding of insurance products including home, life, auto, and commercial and working directly with insurance customers to understand their needs. She has since used that knowledge in her more than ten years as a writer, largely in the insur...

Full Bio →

Reviewed by Leslie Kasperowicz
Farmers CSR for 4 Years Leslie Kasperowicz

UPDATED: Apr 29, 2021

Advertiser Disclosure

It’s all about you. We want to help you make the right coverage choices.

Advertiser Disclosure: We strive to help you make confident life insurance decisions. Comparison shopping should be easy. We are not affiliated with any one life insurance provider and cannot guarantee quotes from any single provider. Our life insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.

Editorial Guidelines: We are a free online resource for anyone interested in learning more about life insurance. Our goal is to be an objective, third-party resource for everything life insurance related. We update our site regularly, and all content is reviewed by life insurance experts.

The Brief

  • FEGLI is a federal life insurance program offered to all federal employees
  • FEGLI approves all employees for term life insurance regardless of age or health
  • FEGLI offers four plans, the Basic Plan, Plan A, Plan B, and Plan C with varying coverage and rates

There are many benefits that come with being a federal employee, and one of those is the Federal Employee Group Life Insurance program or FEGLI.

In this FEGLI life insurance review, we will go over who is eligible for affordable FEGLI life insurance, how much it costs, and how to find cheap term life insurance options out there.

Before jumping into this FEGLI life insurance review, enter your ZIP code above to check out other life insurance providers in your area.

What type of life insurance does FEGLI provide?

The FEGLI offers term life insurance policies to all federal employees. While term life insurance is the only product that FEGLI provides, there are four different plans available to choose from.

Basic Plan

The first plan is the FEGLI Basic Plan. This plan is auto-enrolled for all employees unless they choose to opt-out. It is subsidized by the government, so employees only pay ⅔ of the premium cost.

It provides coverage totaling employee salaries to the closest thousand plus an additional $2,000.

The FEGLI basic life insurance does not use age to calculate the premium rates, instead, it has a flat rate paid by any employee who retains this plan.

Plan A

The second plan is Plan A. Plan A offers an increased coverage amount by $10,000 and uses age to calculate premium rates.

Plan A is not subsidized by the government, so any employee who wants additional coverage will need to pay the full premiums.

Plan A also allows you to continue coverage into retirement if you choose.

Plan B

Plan B again allows you to increase your coverage, allowing you to get up to five times your salary in total coverage.

Like Plan A, the premiums for this plan are not subsidized and are calculated based on coverage and age. Plan B can also be carried into retirement.

Plan C

Plan C is the family insurance option. This plan allows you to purchase coverage for your spouse and dependant children.

Coverage for your spouse can be a maximum of $25,000 and for children, the maximum coverage is $12,500.

These premiums are again calculated using your age and coverage total and are not subsidized by the government.

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

Is FEGLI life insurance affordable?

The Basic Plan is affordable, but the other plans are not.

This is because of many factors. The primary one being that the Basic Plan is partially paid for by the US government.

Not paying for a ⅓ of the premiums saves employees money and makes the Basic Plan a very affordable way to get term life insurance.

The secondary reason the other plans are so expensive is the pricing structure.

While FEGLI doesn’t use traditional approval methods, because they provide the plan for all employees, their age-based pricing structure does have several jumps in it that happen around age 60 to 65.

These jumps of over a dollar in some cases can make maintaining premiums difficult.

To compare the FEGLI life insurance rates and other life insurance providers, we pulled up a quote for a 20-year policy with $100,000 in coverage for a 30-year-old woman with Haven Life and WAEPA.

Here are the results using similar data for FEGLI.

Average Monthly Term Life Insurance Rates by Company
CompanyAverage Monthly Rates
FEGLI Plan A$17.99
Haven Life$8.87-$11.89
Get Your Rates Quote Now

Compare RatesStart Now →

It should be noted that the plan for FEGLI was a total of $115,00 in coverage, however, the small increase in coverage does not seem to equate with the increased premiums.

Looking at the data objectively, FEGLI is more expensive than traditional term life insurance policies.

How does FEGLI life insurance compare to traditional life insurance?

There are many benefits if you buy FEGLI life insurance. Everyone is accepted by this policy.

If you are in poor health, it can be very difficult for you to get life insurance that is in any way affordable. FEGLI basic life insurance can offer an alternative that will see you through to retirement age.

FEGLI also doesn’t calculate premiums using gender or health concerns, which in some cases can save money.

FEGLI life insurance deducts directly from your paycheck, which makes keeping up on premiums easy as long as you can afford them.

However, despite all of these benefits, the cost of FEGLI is where it starts to lose popularity.

The high premiums associated with FEGLI policies do not stand up to individual policies available elsewhere.

If you are interested in a term life insurance policy that provides more coverage than the Basic Plan from FEGLI, the best thing to do is to submit quotes with other companies to compare the rates.

FEGLI has some options that can follow you into retirement; however, there is life insurance for seniors over 80 available on the market.

As always with life insurance, it’s important to shop around and compare FEGLI life insurance quotes and coverage to other provides to ensure you are getting the most out of your monthly premiums.

FEGLI Life Insurance Review

FEGLI was enacted in 1954 and as of today is the largest group life insurance program in the world. FEGLI, as the name implies is a federal program providing term life insurance to all federal employees.

Unlike other life insurance providers, FEGLI is funded by the U.S. government, so employee premiums are taken directly from their paychecks.

FEGLI offers four different term life insurance plans, each with different rates and coverage amounts.

One of the unique things that FEGLI does is rather than have a lengthy process to approve or deny employees coverage, they approve all employees.

Regardless of health or age, employees are eligible for FEGLI insurance.

In addition, FEGLI life insurance rates are not calculated based on gender, which is a common practice in the life insurance industry, as, according to the CDC, males have a lower life expectancy their rates tend to be higher.

These factors make it easier to get life insurance through FEGLI than some third-party providers if you are older or have poor health.

Now that you’ve finished this FEGLI life insurance review, enter your ZIP code below and we will help you find a policy that fits your budget and your needs.