[Code of Federal Regulations]
[Title 5, Volume 2]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 5CFR870.802]

[Page 407]
 
                    TITLE 5--ADMINISTRATIVE PERSONNEL
 
          CHAPTER I--OFFICE OF PERSONNEL MANAGEMENT (Continued)
 
PART 870--FEDERAL EMPLOYEES' GROUP LIFE INSURANCE PROGRAM--Table of Contents
 
      Subpart H--Order of Precedence and Designation of Beneficiary
 
Sec. 870.802  Designation of beneficiary.

    (a) Except as provided in paragraph (i) of this section, if an 
insured individual wants benefits paid differently from the order of 
precedence, he/she must file a designation of beneficiary. A designation 
of beneficiary cannot be filed by anyone other than the insured 
individual. Exception: if the insurance has been assigned under subpart 
I of this part, the insured individual cannot designate a beneficiary; 
only the assignee(s) can designate beneficiaries.
    (b) A designation of beneficiary must be in writing, signed by the 
insured individual, and witnessed and signed by 2 people. The 
appropriate office must receive the designation before the death of the 
insured.
    (1) For employees, the appropriate office is the employing office.
    (2) For annuitants and compensationers, the appropriate office is 
OPM.
    (3) For employees and former employees who have ported Option B 
coverage, the appropriate office is the Portability Office.
    (c) A designation, change, or cancellation of beneficiary in a will 
or any other document not witnessed and filed as required by this 
section has no legal effect with respect to benefits under this chapter.
    (d) A witness to a designation of beneficiary cannot be named as a 
beneficiary.
    (e) Any individual, firm, corporation, or legal entity can be named 
as a beneficiary, except an agency of the Federal or District of 
Columbia Government.
    (f) An insured individual (or an assignee) may change his/her 
beneficiary at any time without the knowledge or consent of the previous 
beneficiary. This right cannot be waived or restricted.
    (g)(1) A designation of beneficiary is automatically cancelled 31 
days after the individual stops being insured. Exception: If the 
individual elects portability for Option B, a valid designation remains 
in effect.
    (2) An assignment under subpart I of this part automatically cancels 
an insured individual's designation of beneficiary.
    (h) An insured individual may provide that a designated beneficiary 
is entitled to the insurance benefits only if the beneficiary survives 
him/her for a specified period of time (not more than 30 days). If the 
beneficiary doesn't survive for the specified period, insurance benefits 
will be paid as if the beneficiary had died before the insured.
    (i)(1) Except as provided in paragraph (i)(2) of this section, if a 
court order has been received in accordance with Sec. 870.801(d), an 
insured individual cannot designate a different beneficiary, unless
    (i) The person(s) named in the court order gives written consent for 
the change, or
    (ii) The court order is modified.
    (2) If a court order has been received in accordance with 
Sec. 870.801(d), and the court order applies to only part of the 
insurance benefits, an insured individual can designate a different 
beneficiary to receive the insurance benefits that are not included 
under the court order. If the insured individual does not make a 
designation for these benefits and there is no previous valid 
designation on file, benefits will be paid according to the order of 
precedence shown in Sec. 870.801(a).
    (3) If a court order received in accordance with Sec. 870.801(d) is 
subsequently modified without naming a new person to receive the 
benefits, and a certified copy of the modified court order is received 
by the appropriate office before the death of the insured, the insured 
individual can designate a beneficiary. Benefits will be paid according 
to the order of precedence shown in Sec. 870.801(d) if the insured 
individual does not complete a new designation of beneficiary.

[62 FR 48731, Sept. 17, 1997; 62 FR 52181, Oct. 6, 1997, as amended at 
64 FR 16602, Apr. 6, 1999; 64 FR 72464, Dec. 28, 1999]

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