5 C.F.R. § 870.602 Termination of Optional insurance.
Title 5 - Administrative Personnel
(a)(1) The Optional insurance of an insured employee stops when his/her Basic insurance stops, subject to the same 31-day extension of coverage. (2) An employee who meets the requirements for portability, as provided in subpart L of this part, may elect portability for his/her Option B coverage, instead of having it terminate. (b) The Optional insurance of an employee who separates from service after meeting the requirement for an immediate annuity under §842.204(a)(1) of this title and who postpones receiving the annuity, as provided by §842.204(c) of this title, stops on the date he/she separates from service, subject to a 31–day extension of coverage. (c)(1) If an insured employee is not eligible to continue Optional coverage as an annuitant or compensationer as provided by §870.701, the Optional insurance stops on the date that his/her Basic insurance is continued or reinstated under the provisions of §870.701, subject to a 31-day extension of coverage. (2) A compensationer who meets the requirements for portability, as provided in subpart L of this part, may elect portability for his/her Option B coverage, instead of having it terminate. (d) If, at the time of an individual's election of Basic insurance during receipt of annuity or compensation, he/she elects no Basic life insurance as provided by §870.702(a)(1), the Optional insurance stops at the end of the month in which the election is received in OPM, subject to a 31–day extension of coverage. (e) Except for employees, annuitants, and compensationers who elect direct payment as provided in §870.405 of this part, Optional insurance stops, subject to a 31-day extension of coverage, at the end of the pay period in which the employing office or retirement system determines that an individual's periodic pay, annuity, or compensation, after all other deductions, is not enough to cover the full cost of the Optional insurance. If an individual has more than one type of Optional insurance and his/her pay, annuity, or compensation is sufficient to cover some but not all of the insurance, the multiples of Option C terminate first, followed by Option A, and then the multiples of Option B. [62 FR 48731, Sept. 17, 1997, as amended at 64 FR 72463, Dec. 28, 1999]
Title 5: Administrative Personnel
PART 870—FEDERAL EMPLOYEES' GROUP LIFE INSURANCE PROGRAM
Subpart F—Termination and Conversion
§ 870.602 Termination of Optional insurance.
