FEGLI Option B and Retirement
Retirement elections can affect both the amount of Option B coverage you keep and what you pay.
Full Reduction
OPM explains that Option B multiples elected for Full Reduction become free after age 65 or retirement, whichever is later, when reductions begin. Those multiples reduce by 2% of the pre-retirement amount each month for 50 months until the coverage ends.
No Reduction
Option B multiples elected for No Reduction do not reduce, but an additional premium continues.
Plan before retirement
If you expect to need life insurance well into retirement, compare options while you are still healthy enough to qualify for private coverage. Do not assume private coverage will be available later.