B-165399, OCT. 24, 1968

B-165399: Oct 24, 1968

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TREASURE: WE ARE IN RECEIPT OF YOUR LETTER OF SEPTEMBER 18. IN WHICH OUR DECISION IS REQUESTED AS TO WHETHER AN EMPLOYEE MAY BE REIMBURSED FOR DEDUCTIONS FROM HIS SALARY FOR OPTIONAL LIFE INSURANCE COVERAGE WHICH THE EMPLOYEE APPARENTLY DID NOT DESIRE. AFTER LEARNING THAT THIS WAS NOT TRUE HE CONTACTED HIS ADMINISTRATIVE OFFICER ON MARCH 6. THE RECORD INDICATES THAT THE EMPLOYEE ASKED IF HE SHOULD FILL OUT THE PROPER FORM TO CANCEL THE INSURANCE BUT WAS TOLD THAT IT WOULD NOT BE NECESSARY SINCE THE ORIGINAL SF 176-T HAD NOT THEN BEEN PROCESSED. IT IS OUR OPINION THAT THE EMPLOYEE IN THIS CASE DID ALL THAT HE COULD REASONABLY BE EXPECTED TO DO TO EXPRESS HIS DESIRE TO CANCEL THE LIFE INSURANCE ON MARCH 6.

B-165399, OCT. 24, 1968

TO MR. STANLEY J. TREASURE:

WE ARE IN RECEIPT OF YOUR LETTER OF SEPTEMBER 18, 1968, REFERENCE D:MI:DC:F, AND AN INDORSEMENT FROM MR. GRAY W. HUME, FISCAL MANAGEMENT OFFICER, REFERENCE A:F, OCTOBER 7, 1968, IN WHICH OUR DECISION IS REQUESTED AS TO WHETHER AN EMPLOYEE MAY BE REIMBURSED FOR DEDUCTIONS FROM HIS SALARY FOR OPTIONAL LIFE INSURANCE COVERAGE WHICH THE EMPLOYEE APPARENTLY DID NOT DESIRE.

THE EMPLOYEE COMPLETED AN SF 176-T ON MARCH 5, 1968, ELECTING OPTIONAL LIFE INSURANCE COVERAGE, BELIEVING IT WOULD CONTINUE WITHOUT COST TO HIM AFTER RETIREMENT. AFTER LEARNING THAT THIS WAS NOT TRUE HE CONTACTED HIS ADMINISTRATIVE OFFICER ON MARCH 6, 1968, AND ASKED THAT HIS LIFE INSURANCE BE CANCELLED. HOWEVER, HE DID NOT AT THAT TIME COMPLETE THE PROPER FORM (SF 176-T) TO EFFECT THE CANCELLATION.

THE RECORD INDICATES THAT THE EMPLOYEE ASKED IF HE SHOULD FILL OUT THE PROPER FORM TO CANCEL THE INSURANCE BUT WAS TOLD THAT IT WOULD NOT BE NECESSARY SINCE THE ORIGINAL SF 176-T HAD NOT THEN BEEN PROCESSED. SUBSEQUENTLY, THE EMPLOYEE LEARNED THAT THE CANCELLATION HAD NOT BEEN EFFECTED AND DID THEN FILL OUT AN SF 176-T ON APRIL 10, 1968, WHICH CANCELLED THE LIFE INSURANCE COVERAGE.

IT IS OUR OPINION THAT THE EMPLOYEE IN THIS CASE DID ALL THAT HE COULD REASONABLY BE EXPECTED TO DO TO EXPRESS HIS DESIRE TO CANCEL THE LIFE INSURANCE ON MARCH 6, 1968, AND THAT THE DEDUCTIONS FROM HIS PAY FOR THE PERIODS MARCH 24 TO APRIL 6 AND APRIL 7 TO APRIL 20 RESULTED FROM ADMINISTRATIVE ERROR.

ACCORDINGLY, THE VOUCHER WHICH IS RETURNED HEREWITH MAY BE CERTIFIED FOR PAYMENT IF OTHERWISE CORRECT.