738
PUBLIC LAW 598-AUG. 17, 1954
[68 S T A T.
lesser of his annual compensation (1) at the time he becomes so insured, or (2) at age sixty-five, provided he was eligible at that time to be insured under this Act. Death jgj,(, 4 Any amount of group life insurance and group accidental payment. claims, death insurance in force on any employee at the date of his death shall be paid, upon the establishment of a valid claim therefor, to the person or persons surviving at the date of his death, in the following Order of preced- order of precedence: ence. First, to the beneficiary or beneficiaries as the employee may have designated by a writing received in the employing office prior to death; Second, if there be no such beneficiary, to the widow or widower of such employee; Third, if none of the above, to the child or children of such employee and descendants of deceased children by representation; Fourth, if none of the above, to the parents of such employee or the survivor of them; Fifth, if none of the above, to the duly appointed executor or administrator of the estate of such employee; Sixth, if none of the above, to other next of kin of such employee entitled under the laws of domicile of such employee at the time of his death. If any person otherwise entitled to payment under this section does not make claim therefor within one year after the death of the employee, or if payment to such person within that period is prohibited by Federal statute or regulation, payment may be made in the order of precedence as if such person had predeceased the employee, and any such payment shall be a bar to recovery by any other person. W i t h h o l d i n g of SEC. 5. (a) During any period in which an employee under age premium cost from salary. sixty-five is insured under a policy of insurance purchased by the Commission as authorized in section 7 of this Act, there shall be withheld from each salary payment of such employee, as his share of the cost of his group life and accidental death and dismemberment insurance, an amount determined by the Commission, but not to exceed the rate of 25 cents biweekly for each $1,000 of his group life insurance: Provided, That an employee who is paid on other than a biweekly basis shall have an amount so withheld, determined at a proportionate rate, which rate shall be adjusted to the nearest cent. A u to m a t i c inAny policy of insurance purchased by the Commission as authorized surance. in section 7 of this Act shall provide that all employees eligible under the terms of this Act will be automatically insured thereunder comN o t i c e o f d e - mencing on the date they first become so eligible: Provided, That any sire not to be insured. employee desiring not to be so insured shall, on an appropriate form to be prescribed by the Commission, give written notice to his employing office that he desires not to be insured. If such notice is received before the employee shall have become insured under such policy, he shall not be so insured; if it is received after he shall have become insured, his insurance under the policy will cease effective with the end of the pay period during which the notice is received by the employing office. Government con(h) For each period in which an employee is insured under a policy tribution. of insurance purchased by the Commission as authorized in section 7 of this Act, there shall be contributed from the respective appropriation or fund which is used for payment of his salary, wage, or other compensation (or, in the case of an elected official, from such appropriation or fund as may be available for payment of other salaries of the same office or establishment) a sum computed at a rate determined by the Commission, but not to exceed one-half the amount withheld from the employee under this section.
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