Q. How does life insurance pay when I retire? I don’t understand how it is reduced. If I keep the basic life insurance and die at 85, how much insurance will there be? A. How much basic insurance there will be depends on the level of coverage you elect when you retire. Here are the choices: No reduction: You retain the same amount of basic insurance you had when you retired. You continue to pay the premiums for the rest of your life. 50 percent reduction: Your coverage is reduced by 1 percent per month beginning at age 65 until…
Browsing: federal life insurance
Q. I am 66 years old with 30-plus years of federal service. If I resign, will I still be able to apply for retirement a few months later, even though I am no longer a federal employee? A. Yes. Since you meet the age and service requirements to retire, you can do that at any time. However, I can think of no good reason for resigning and applying for an annuity at a later date. And there are some downsides to doing that. Among others, you’d be solely in charge of filing the paperwork, parts of which require verification from…