A denial under the Federal Employees’ Group Life Insurance program is not the end of the road. FEGLI claims are governed by federal law, and many denials are based on record errors, outdated beneficiary forms, or misapplication of regulations. With the right approach, a large number of denied FEGLI claims can be overturned and paid in full.
This page focuses on how denied FEGLI claims are successfully challenged, not on how FEGLI works in general. When you are facing a denied FEGLI claim, we are here for you. Look at our FEGLI Fact Sheet for more information.
Step One: Identify the Exact Basis for the FEGLI Denial
The denial letter is your starting point. FEGLI denials typically rely on one or more of the following assertions:
Incorrect or outdated beneficiary designation
Alleged lapse of coverage due to separation or retirement
Administrative error by the employing agency
Dispute over the claimant’s legal status
Suicide exclusion within the first year of coverage
The language in FEGLI denial letters is often technical and regulatory. What matters is whether the denial is legally correct under federal law, not whether it sounds authoritative.
Step Two: Enforce Federal Beneficiary Rules
One of the most common ways FEGLI claims are won involves beneficiary disputes. FEGLI does not follow state probate law, divorce decrees, or wills. Federal statute controls.
Key principles that frequently reverse denials:
The most recent valid FEGLI beneficiary designation governs
Divorce does not automatically remove a named beneficiary
State court orders generally do not override FEGLI designations
Intent does not matter if the federal form controls
Many denials collapse once the correct federal hierarchy is applied.
Step Three: Prove Administrative or Agency Error
A significant number of denied FEGLI claims result from mistakes by the employing agency, not the employee. These include:
Failure to process enrollment or coverage elections
Incorrect termination of coverage after job changes
Missing or misfiled SF 2823 designation forms
Errors during retirement or disability transitions
Winning these cases often depends on showing that the employee completed the required steps and that the agency failed to process them correctly. Federal employees should not lose coverage because of internal administrative errors.
Step Four: Demand the Full FEGLI Record
One of the most effective tools in a denied FEGLI claim is obtaining the complete file. This includes:
Beneficiary designation history
Coverage election records
Payroll and premium deductions
Agency correspondence
Internal determinations by Office of Personnel Management or OFEGLI
Denials are frequently overturned once inconsistencies in the government’s own records are exposed.
Step Five: File a Proper FEGLI Appeal
FEGLI appeals are not informal complaints. They require structured legal arguments tied directly to federal regulations and case law. A successful appeal typically includes:
A point by point rebuttal of the denial
Supporting service and personnel records
Correct application of federal statute
Clear demand for reversal and payment
Deadlines matter. Missing an appeal deadline can permanently bar recovery.
Step Six: Litigate in Federal Court When Necessary
If administrative appeals fail, some FEGLI claims must be resolved through federal litigation. This is common when:
The wrong beneficiary was paid
OPM refuses to correct an acknowledged error
Coverage was terminated improperly
Multiple claimants assert competing rights
Federal courts routinely enforce FEGLI statutes when agencies or administrators misapply the law.
Why Denied FEGLI Claims Are Often Winnable
FEGLI is highly regulated. Administrators have limited discretion. When they stray from statutory requirements, beneficiaries often have strong grounds for recovery.
Denied FEGLI claims are frequently paid after challenge because:
The wrong beneficiary rule was applied
Agency records were incomplete or incorrect
Coverage was terminated improperly
Federal law was misinterpreted
These are legal problems, not final outcomes.
What to Do Next If Your FEGLI Claim Was Denied
If you are facing a FEGLI denial, take action quickly:
Request the complete FEGLI and personnel file
Do not submit statements or documents without legal review
Preserve all correspondence with the agency and insurer
Speak with a lawyer who focuses on denied FEGLI claims
Winning a denied FEGLI claim requires enforcing federal law, not negotiating fairness. With the right strategy, many denials can be reversed and paid in full.