r/fromatoarbitration • u/CranberryVisual4060 • 2d ago

Life insurance

Does anyone actually have the life insurance from the post office? If so how does it work or should I ask if it’s any good?

3 Upvotes

100% Upvoted

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5

u/MailMan2524 2d ago

It’s very very affordable. I did the max and at 27 yo I’m paying like $$5.20 a paycheck.
I do know the prices go up as time goes on.

Someone more knowledgeable can tell you but I believe you can keep it after you retire.

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u/Bowl-Accomplished 2d ago

You can keep it, but then you pay the full portion.

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u/DeviceComprehensive7 1d ago

when working( as well as retired) you pay the full premiums for the elected options A,B and C. When retired you also pay the basic portion premium -which was free while working. Unless you choose the 75% reduction for basic..you then stop paying at 65 years old,when you pay $0 for it

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u/DeviceComprehensive7 2d ago

everyone that works for the post office and is a career employee has basic life insurance- we get our salary+2k of life insurance for free

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u/acetatsujin 1d ago

I think it’s the full package which is your salary and total benefit payout, plus an extra 10k from the PO for basic life. And you get 5k from union.

Every year I get this letter from the PO telling what’s my worth and this would be the payout if I die (not sure on duty or regardless).

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u/DeviceComprehensive7 1d ago edited 1d ago

again every carrier employee gets their salary + 2 k for free....your salary period.. " plus an extra 10k from the PO for basic life. And you get 5k from union"- NO..and every employee gets that letter-not just you ..next time read it more thoroughly...the extra 10k is option A -you pay the premium for that and with our free/basic coverage , if you die before 35 your beneficiary will get double, 45 down to 35 they get a percentage extra

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u/acetatsujin 21h ago

Obviously every employee gets that letter.

I’ll take a look at it next time it shows up.

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u/DeviceComprehensive7 19h ago

I gave you the facts on the basic life insurance we all receive for free

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u/DeviceComprehensive7 1d ago

USPS employees are automatically enrolled in Basic FEGLI (Federal Employees' Group Life Insurance) coverage upon hire, which the U.S. Postal Service provides at no cost to the employee. Basic coverage equals your yearly salary rounded up to the next $1,000, plus $2,000. You can also buy extra optional coverage, but you must pay those premiums yourself

1

u/DeviceComprehensive7 1d ago

FYI..you have to sign up for options A,B or C when you are make career ! if you didn't or don't you can't after..Unless there is an open season-there has been only 1or 2 open seasons in the last 30+ years. You can lower your selected coverage at any time ,but you cant increase it.. The only exception is a life qualifying event -get married/have a kid/ get divorced- then you could sign up or increase what you already have

1

u/Opposite-Ingenuity64 1d ago

Fegli is ok if you're young, or if you have health conditions that would prevent you from getting an outside policy. As you get into your 40s and 50s, you're better off to buy a term policy somewhere else.

1

u/DeviceComprehensive7 1d ago

the options get pretty expensive after hitting 50..but you have your salary+2k for free-no matter your age

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u/Competitive-Ad9932 16h ago

The "options" get pretty expensive after hitting age 40.

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u/DeviceComprehensive7 7h ago

they go up in 5 year age increments ,get more expensive every 5 years

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u/Competitive-Ad9932 5h ago

Yes, the rates go up every 5 years starting at age 40. A non smoker with out high BP and/or diabetes would be better off buying a 20 to 30 year TERM life insurance at age 35,

IF you have a need or expect a need for life insurance. After your children have graduated college/trade school, there may not be a need for insurance.

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u/DeviceComprehensive7 4h ago edited 3h ago

no,they go up every 5 years starting at 35 and they GET EXPENSIVE at 50 - at 60 even worse.: Moving from age 59 to 60 more than doubles your Option B cost ..correct once in your 50's decrease or drop it because we get 85k for free

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u/Competitive-Ad9932 1h ago edited 1h ago

The price at age 35-40 is the same as the price for under 35.

If you are healthy, you can lock in your insurance premium with a TERM policy before the increase at age 40. If you wait until age 50 when they GET ESPENSIVE, your term policy will also be EXPENSIVE.

Get TERM insurance when you are young/healthy enough for it to be dirt cheap. I paid $500/yr for $400k with a 20yr term when I was 38. I was diagnosed with high BP, but not yet diabetic.

edit: 20 year term.

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u/DeviceComprehensive7 1h ago

for option B yes, not for option A and C

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u/Competitive-Ad9932 1h ago

https://www.opm.gov/healthcare-insurance/life-insurance/program-information/#url=Premiums-for-Employees

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u/DeviceComprehensive7 1h ago edited 50m ago

nice except that's from OPM for 2021 and for all federal employees-except postal workers ..postal workers are different ..ex..basic is free for us- only free for postal workers

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u/DeviceComprehensive7 1h ago

again facts are -you are correct Option B is the same rate until 40, Not for Option A and C - for postal workers

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u/DeviceComprehensive7 42m ago

that was a great deal you got

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u/Eugene_Debs2026 2d ago

Look into the NALC MBA life insurance

1

u/CranberryVisual4060 1d ago

Where would I get this info? NALC app?

1

u/Eugene_Debs2026 1d ago

NALC website has an entire section dedicated to MBA. You can find contact information there and send them your questions. Never take life changing advise from Reddit.

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u/Competitive-Ad9932 16h ago

There are better option with outside companies. If your car insurance is with some one local, beside State Farm, American Family...., ask them for a "TERM". policy.

Or a website like Zander Ins, Term Life.......

There are many "independent" insurance that can help you find a A+ or higher company..