[Code of Federal Regulations]
[Title 5, Volume 2]
[Revised as of January 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 5CFR870.601]

[Page 402-403]
 
                    TITLE 5--ADMINISTRATIVE PERSONNEL
 
          CHAPTER I--OFFICE OF PERSONNEL MANAGEMENT (CONTINUED)
 
PART 870_FEDERAL EMPLOYEES' GROUP LIFE INSURANCE PROGRAM--Table of Contents
 
                  Subpart F_Termination and Conversion
 
Sec. 870.601  Termination of Basic insurance.


    (a) Except as provided in Sec. 870.701, the Basic insurance of an 
insured employee stops on the date he/she separates from service, 
subject to a 31-day extension of coverage.
    (b) The Basic insurance of an employee who separates from service 
after meeting the requirement for an immediate annuity under Sec. 
842.204(a)(1) of this title and who postpones receiving the annuity, as 
provided by Sec. 842.204(c) of this title, stops on the date he/she 
separates from service, subject to a 31-day extension of coverage.
    (c) The Basic insurance of an insured employee who moves without a 
break in service to a position in which he/she is excluded from life 
insurance stops on his/her last day in the former position, subject to a 
31-day extension of coverage.

[[Page 403]]

    (d)(1) Except as provided in Sec. 870.701, the Basic insurance of 
an insured employee who is in nonpay status stops on the date the 
employee completes 12 months in nonpay status, subject to a 31-day 
extension of coverage. The 12 months' nonpay status may be broken by 
periods of less than 4 consecutive months in pay status. If an employee 
has at least 4 consecutive months in pay status after a period of nonpay 
status, he/she is entitled to begin the 12 months' continuation of Basic 
insurance again. If an employee has used up his/her 12 months' 
continuation in nonpay status and returns to duty for less than 4 
consecutive months, his/her Basic insurance stops on the 32nd day after 
the last day of the last pay period in pay status.
    (2) For the purpose of paragraph (d)(1) of this section, 4 
consecutive months in pay status means any 4-month period during which 
the employee is in pay status for at least part of each pay period.
    (3) For the purpose of paragraph (d)(1) of this section, an 
individual who is entitled to benefits under part 353 of this chapter is 
considered to be an employee in nonpay status.
    (e) Except for employees, annuitants, and compensationers who elect 
direct payment as provided in Sec. 870.405 of this part, Basic 
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 
Basic insurance.

[62 FR 48731, Sept. 17, 1997, as amended at 64 FR 72463, Dec. 28, 1999]