Payment of Life Insurance Premiums

B-204033: Dec 15, 1981

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Shirley Jones
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This decision concerns the legal authority to allow for life insurance institutions to be paid automatic recurring payments for Member's salaries to cover premium on their life insurance policies. GAO found that while there was legal authority for Members to have all or a portion of their paycheck sent to a qualified financial institution for deposit in an individual account, there was no legal basis by which insurance institutions could draw automatic recurring checks against Members' salaries.

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