The living benefit is a provision available through the Federal Employees Group Life Insurance (FEGLI) program that most enrollees hope they’ll never need but should be aware of.
You might choose a lump-sum payment if you have a terminal illness and have a proven medical prognosis of fewer than nine months to live. Eligible people under 45 can choose a full lump-sum payout equal to the basic life insurance amount they’re entitled to plus any additional benefits that will take effect nine months after the OFEGLI receives a properly filed living benefits claim form. Employees are the only ones who can choose to get partial living benefits; annuitants do not have that option. If you select a living benefit, your beneficiaries will not be eligible for basic insurance benefits.
You and the assignee cannot choose living benefits if you have already assigned your life insurance policy coverage.
Because of the early payment of benefits, the amount of your living benefits will be lowered by a minimal amount to compensate for lost income to the fund.
If you want to receive living benefits after retirement, your beneficiaries will not receive any basic life insurance in the event of your death. Your basic life insurance premiums will no longer be deducted from your monthly pension by OPM. If you chose living benefits before retiring, the basic life insurance amount due after you die and the premiums withheld by OPM from your annuity are determined by the amount of the living benefits you chose before retiring.
However, the amount of Optional life insurance accessible to you will be unaffected by your choice of living benefits. Optional insurance premiums will continue to be withheld by OPM.
You won’t have to reimburse the money if you choose a living benefit and don’t die within the projected term. To get the form to elect living benefits, call the FEGLI at 800-633-4542. (Form FE-8). Personnel offices and retirement systems do not have this form on hand.
Contact Information:
Email: [email protected]
Phone: 3604642979
Bio:
After entering the financial services industry in 1994, it was a desire to guide people towards their financial independence that drove Aaron to start Steele Capital Management in 2013. Armed with an extensive background in financial planning and commercial banking coupled with a sincere passion for helping people, Aaron has the expertise and affinity for serving the unique needs of those in transition. Clients benefit from his objective financial solutions and education aligned solely withhelping them pursue the most comfortable financial life possible.Born in Olympia, Washington, Aaron spent much of his childhood in Denver, Colorado. An area outside of Phoenix, Arizona, known as the East Valley, occupies a special place in Aaron’s heart. It is where he graduated from Arizona State University with a Bachelor of Science degree in Business Administration, started a family, and advanced his professional career.Having now returned to his hometown of Olympia, and with the days of coaching his sons football and baseball teams behind him, he now has time to pursue his civic passions. Aaron is proud to serve on the Board of Regents Leadership for Thurston County as the Secretary and Treasurer for the Morningside area. His past affiliations include the West Olympia Rotary and has served on various committees for organizations throughout his community.Aaron and his beautiful wife, Holly, a Registered Nurse, consider their greatest accomplishment having raised Thomas and Tate, their two intelligent and motivated sons. Their oldest son Tate is following in his father’s entrepreneurial footsteps and currently attends the Carson College of Business at Washington State University. Their beloved youngest son, Thomas, is a student at Olympia High School.Focused on helping veterans and their families navigate the maze of long-term care solutions, Aaron specializes in customized strategies to avoid the financial crisis that care related expenses can create. Experience has shown him that many seniors are not prepared for the economic transition that takes place as they reach an advanced age.With support from the American Academy of Benefit Planners – an organization with expertise and resources on the intricacies of government benefits – he helps clients close the gap between the cost of care and their income while protecting their assets from depletion.Aaron can help you and your family to create, preserve and protect your legacy.That’s making a difference.
Disclosure:
Disclosure:Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision.Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at [email protected] or 800-779-4183.
