Does my coverage change if I go back to work as a reemployed annuitant?
It depends. When you are reemployed in a position that makes you eligible for the Federal Employees' Group Life Insurance (FEGLI) Program, the Basic insurance you carried as an annuitant is suspended. You automatically get Basic insurance just like any other employee. Withholdings are made from your pay, even if you are over age 65. In addition, even if you are over age 65 your life insurance coverage as an employee will not reduce. The post-65 reductions can only affect retirees. Your employing office pays the government contribution instead of the Office of Personnel Management. The amount of your Basic insurance is based on your salary as an employee, before reduction of pay by the amount of your annuity. Accidental Death & Dismemberment is included.
Your agency’s Human Resources Office must contact OPM’s Retirement Operations Center to notify them of your status via the SF 1482 “Agency Certification of Status of Reemployed Annuitants”.
For more information on how reemployment affects Option A, Option B, and Option C, please see the FEGLI Handbook.