Denied FEGLI Claim Fact Sheet
Christian Lassen, Esq. | Quoted in The Wall Street Journal | 25 Years Experience Helping federal employees and their families nationwide recover denied FEGLI benefits.
What Is FEGLI
The Federal Employees’ Group Life Insurance program provides life insurance coverage for federal employees and retirees. FEGLI includes Basic coverage and optional coverage levels that must be properly elected and maintained.
FEGLI is governed by federal law, not state insurance regulations. Claims are administered through the Office of Federal Employees’ Group Life Insurance, and disputes follow federal procedures.
Why FEGLI Claims Are Denied
FEGLI claims are frequently denied due to administrative or documentation issues rather than intentional misconduct.
Common denial reasons include:
• Missing or outdated beneficiary designation forms
• Failure to elect optional coverage correctly
• Coverage ending after retirement or separation
• Failure to convert coverage when required
• Premium payment disputes
• Errors on federal election forms
• Employer reporting mistakes
• Misinterpretation of eligibility rules
• Incomplete or missing paperwork
Immediate Steps After a Denial
Request the denial letter and claims file from OFEGLI
- Collect employment and retirement records
- Confirm beneficiary designations
- Keep copies of all correspondence
- Be mindful of strict federal deadlines
Key Legal Principles
• Federal law governs FEGLI claims
• Beneficiary designations control payment
• Administrative errors can invalidate denials
• Federal courts can enforce payment of benefits
Frequently Asked Questions
What happens if a beneficiary form is outdated
Denials based on outdated forms can often be challenged when processing errors exist.
Can FEGLI coverage continue after retirement
Yes, but only if properly elected and maintained. Many denials result from conversion errors.
How long do appeals take
Timelines vary, but delays can jeopardize rights.
Is legal representation important
Yes. FEGLI disputes involve federal regulations and strict procedures.
Key Takeaways
• FEGLI is governed by federal law
• Many denials result from paperwork errors
• Beneficiary designations are critical
• Prompt action improves outcomes
For legal representation and detailed guidance, see our main page on Denied FEGLI Life Insurance Claims or contact our office for a free consultation.
Free Case Evaluation Contact Us!
Written & Reviewed by Christian Lassen, Esq., Nationally recognized life insurance lawyer: 25 years experience, hundreds of millions recovered. Quoted in The Wall Street Journal ( May 17, 2025).
Last reviewed: Jan 3, 2026 | Contact 800-330-2274
Our FAQ
Have questions? We are here to help. Still have questions or can't find the answer you need? Give us a call at 800-330-2274 today!
-
A grace period is the time after a missed payment during which the policy remains in force, usually 30 to 60 days depending on state law and policy terms.
-
No. In most states, insurers must send a written notice of overdue premiums and warn of pending lapse before terminating coverage.
-
The policy may still be enforceable. Beneficiaries can challenge the lapse based on the insurer’s failure to provide required notice.
-
Yes. If the insured dies during the grace period, the policy is still considered active, and benefits should be paid.
-
Yes. In group life insurance policies, employers sometimes fail to forward premiums properly, leading to wrongful lapse denials.
-
Yes. If automatic payment setups fail through no fault of the insured, lapses may be challenged.
-
Some policies automatically borrow against cash value to cover missed payments. Failure to apply this correctly can lead to wrongful lapse claims.
-
Possibly. Some courts excuse nonpayment if the insured was mentally incapacitated and missed premiums without proper notice.
-
No. Reinstatement must occur while the insured is alive, but wrongful lapse denials can still be challenged posthumously.
-
Not without following strict notice and grace period rules. Beneficiaries can often challenge technical denials.
-
Deadlines vary by state, but it’s critical to act within 1 to 5 years depending on the policy and jurisdiction.
-
Not necessarily. Payments mailed within grace periods or accepted by insurers may keep coverage active.
-
Bank records, payment receipts, insurer correspondence, and premium notices are key evidence.
-
If the insurer used an outdated address despite updated information, lapse denials can often be overturned.
-
Possibly. If the insured submitted a reinstatement application before death, it may help challenge a lapse denial.
-
In some states, special grace periods and protections applied during COVID-19 emergencies. They can help fight wrongful lapses.
-
Only if the insurer followed all legal notice and grace period requirements. Otherwise, beneficiaries may still recover.
-
Misapplied premiums can lead to wrongful lapses — and courts often hold insurers accountable for these errors.
-
An attorney can obtain records, challenge improper lapses, negotiate settlements, and litigate if necessary to enforce payment.
Our Clients Speak Volumes
The Right Choice for Your Claim
-
“They tried to connect my father’s death to an undisclosed pre-existing condition. Christian's firm reviewed the full medical file and showed it had no bearing. Within a month, we had the check.”- Susan B.
Why The Lassen Law Firm Is Different
-
Proven National Results
With over two decades of exclusive focus on life insurance litigation, we’ve helped thousands of families recover wrongfully denied benefits. Our reputation for fast, strategic resolutions has made us a trusted national resource for complex claim disputes.
-
Recognized ExpertisePerfect 10.0 Avvo rating endorsed by over 1,700 attorneys; life member of the Multi-Million Dollar Advocates Forum; ranked among the top 1 percent of lawyers nationally for life insurance litigation.
-
Client-First AdvocacyNo upfront fees: our contingency fee guarantee aligns our interests with yours; we provide personalized, compassionate representation from your initial consultation through resolution.
-
Media & Community LeadershipQuoted in The Wall Street Journal and featured in leading legal publications; frequent speaker at national conferences; dedicated to charitable efforts supporting pediatric cancer care.
