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B-199262 1 (1981-03-10)

handle is hein.gao/gaobadjeu0001 and id is 1 raw text is: OECISIC FILE: B-I MATTER 0 DIGEST: THE CO 'I:PTiOL2E NERAL OF THE UNITED STATES WASHINGTON. 0. C'. 20548 DATE: March 10 1981 99262 F: Rosalie L. Wong - Waiver An employee elected optional life insurance coverage under Federal Employees Group Life Insurance Program. Due to agency's error appropriate deductions for the optional insurance were not made. The employee's request for waiver is denied since she received leave and earnings statements for each pay period and she should have been aware that premiums for optional insurance were not being withheld from her pay. Also during period of nondeduction her SF 50's clearly stated she was covered by optional insurance. Hence she had duty to make inquiry which she failed to do. This is an appeal from the settlement of our Claims Division which denied Ms. Rosalie L. Wong's request for waiver of collection of optional life insurance premiums. For the reasons stated below, we conclude that waiver may no-t be granted. Is. Wong, an employee of the Department of the Army, applied for optional life insurance on February 16, 1968. Prior to that time she was covered by regular Federal Employees Group Life Insurance (FEGLI). Through adminis- trative error, no deductions were made from her pay for the optional coveragcLe unti June 26, 1976, resuiting- in erroneous overpayments to her totalling $664.60. Ms. Wong requested waiver of the above overpayments, but this was denied by our Claims Division on the basis that Ms. Wong should have expected her pay to decrease slightly at the time she took out the ontionai insurance. Had she checked her pay and then contacted the appropriate officials as to the mistake made, the error could have been corrected, thereby preventing further overpayments.

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