Public Law 95–583

by striking out subsections (b) and (c) and inserting in lieu thereof the following new subsection:

“(b)“(b)

(1)(1)

If on the date the insurance would otherwise stop the employee retires on an immediate annuity and has been insured under this chapter throughout—

“(A)“(A)

the 5 years of service immediately preceding such date, or

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“(B)“(B)

the full period or periods of service during which the employee was entitled to be insured, if less than 5 years,

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life insurance only may be continued, without cost to the employee, under conditions determined by the Commission.

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“(2)“(2)

If on the date the insurance would otherwise stop the employee

Compensation.

5 USC 8101 et seq.

is receiving compensation under subchapter I of chapter 81 of this title because of disease or injury to the employee and has been insured under this chapter throughout—

“(A)“(A)

the 5 years of service immediately preceding such date, or

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“(B)“(B)

the full period or periods of service during which the employee was entitled to be insured, if less than 5 years,

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life insurance only may be continued, without cost to the employee, under conditions determined by the Commission, during the period the employee is receiving compensation for work injuries and is held by the Secretary of Labor or his delegate to be unable to return to duty.

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“(3)“(3)

The amount of life insurance continued under paragraph (1) or paragraph (2) of this subsection shall be reduced by 2 percent at the end of each full calendar month after the date the employee becomes 65 years of age and is retired or is receiving such compensation for disease or injury. The Commission shall prescribe minimum amounts, not less than 25 percent of the amount of life insurance in force before the first reduction, to which the insurance may be reduced.”;

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by redesignating subsections (d) through (f) as subsections (e) through (g), respectively; and

by striking out “(a)–(c)” in subsection (d), as redesignated by paragraph (2), and inserting in lieu thereof “(a) and (b)”.

by striking out “8706(d)” in subsection (c)(1) and inserting in lieu thereof “8706(e)”;

by amending subsection (c)(2) to read as follows:

“(2)“(2)

(A)(A)

In the case of any employee who retires on an immediate

Optional life insurance.

annuity and has been insured under this section throughout—

“(i)“(i)

the 5 years of service immediately preceding the date of such retirement, or

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“(ii)“(ii)

the full period or periods of service during which the employee was entitled to be insured, if less than 5 years,

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the amount of optional life insurance only which has been in force throughout such period may be continued, under conditions determined by the Commission.

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“(B)“(B)

In the case of any employee who becomes entitled to receive

Compensation.

5 USC 8101.

compensation under subchapter I of chapter 81 of this title because of disease or injury to the employee and has been insured under this section throughout—

“(i)“(i)

the 5 years of service immediately preceding the date such employee becomes entitled to such compensation, or

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“(ii)“(ii)

the full period or periods of service during which the employee was entitled to be insured, if less than 5 years,

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the amount of optional life insurance only which has been in force throughout such period may be continued, under conditions determined by the Commission, during the period the employee is receiving such compensation for disease or injury and is held by the Secretary of Labor or his delegate to be unable to return to duty.

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“(C)“(C)

The amount of optional life insurance continued under subparagraph (A) or subparagraph (B) of this paragraph shall be subject to the same monthly reductions as required for regular life insurance under section 8706(b)(3) of this title.”; and

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by striking out “or 8706(c)” in subsection (d).