Page:United States Statutes at Large Volume 112 Part 5.djvu/193

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PUBLIC LAW 105-311—OCT. 30, 1998 112 STAT. 2951 SEC. 5. INCONTESTABILITY OF ERRONEOUS COVERAGE. Section 8706 of title 5, United States Code, as amended by section 5(2), is further amended by adding at the end the following new subsection: "(g) The insurance of an employee under a policy purchased under section 8709 shall not be invalidated based on a finding that the employee erroneously became insured, or erroneously continued insurance upon retirement or entitlement to compensation under subchapter I of chapter 81 of this title, if such finding occurs after the erroneous insurance and applicable withholdings have been in force for 2 years during the employee's lifetime.". SEC. 6. DIRECT PAYMENT OF INSURANCE CONTRIBUTIONS. Chapter 87 of title 5, United States Code, is amended— (Din section 8707— (A) in subsection (a), by striking "(a) During" and inserting "(a) Subject to subsection (c)(2), during"; (B) in subsection (b), by striking "(b)(1) Whenever" and inserting "(b)(1) Subject to subsection (c)(2), whenever"; and (C) in subsection (c), by inserting "(1)" immediately after "(c)" and by adding at the end the following new paragraph: "(2) An employee who is subject to withholdings under this section and whose pay, annuity, or compensation is insufficient to cover such withholdings may nevertheless continue insurance if the employee arranges to pay currently into the Employees' Life Insurance Fund, through the agency or retirement system that administers pay, annuity, or compensation, an amount equal to the withholdings that would otherwise be required under this section."; (2) in section 8714a(d), by adding at the end the following new paragraph: "(3) Notwithstanding paragraph (1), an employee who is subject to withholdings under this subsection and whose pay, annuity, or compensation is insufficient to cover such withholdings may nevertheless continue optional insurance if the employee arranges to pay currently into the Employees' Life Insurance Fund, through the agency or retirement system which administers pay, annuity, or compensation, an amount equal to the withholdings that would otherwise be required under this subsection."; (3) in section 8714b(d), by adding at the end the following new paragraph: "(3) Notwithstanding paragraph (1), an employee who is subject to withholdings under this subsection and whose pay, annuity, or compensation is insufficient to cover such withholdings may nevertheless continue additional optional insurance if the employee arranges to pay currently into the Employees' Life Insurance Fund, through the agency or retirement system which administers pay, annuity, or compensation, an amount equal to the withholdings that would otherwise be required under this subsection."; and (4) in section 8714c(d), by adding at the end the following new paragraph: "(3) Notwithstanding paragraph (1), an employee who is subject to withholdings under this subsection and whose pay, annuity, or compensation is insufficient to cover such withholdings may nevertheless continue optional life insurance on family members 59-194O-98 -7:QL3Part5