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Title 5, Government Organization and EmployeesRelease 119-102

§8709 Insurance Policies

Title 5 › PART III — EMPLOYEES › Subpart G — Insurance and Annuities › CHAPTER 87 — LIFE INSURANCE › § 8709

Last updated Aug 21, 2026|Official source

Summary

The Office of Personnel Management may buy group life and accidental death and dismemberment insurance from one or more life insurance companies. OPM may do this without following 41 U.S.C. 6101(b)–(d). A company must be licensed to sell life and AD&D insurance in 48 States and the District of Columbia. It must also have, on the most recent December 31 for which OPM has data, employee group life insurance equal to at least 1 percent of the total employee group life insurance in the United States. A company that issues a policy must have an administrative office with a name OPM approves. OPM may cancel any such policy at any time. If a policy’s coverage rules conflict with any State or local law about group life insurance, the contract’s rules override the law. "State" here means a U.S. State, the District of Columbia, Puerto Rico, and U.S. territories or possessions.

Full Legal Text

Title 5, §8709

Government Organization and Employees, Source: USLM XML via OLRC

(a)The Office of Personnel Management, without regard to section 6101(b) to (d) of title 41, may purchase from one or more life insurance companies a policy or policies of group life and accidental death and dismemberment insurance to provide the benefits specified by this chapter. A company must meet the following requirements:
(1)It must be licensed to transact life and accidental death and dismemberment insurance under the laws of 48 of the States and the District of Columbia.
(2)It must have in effect, on the most recent December 31 for which information is available to the Office, an amount of employee group life insurance equal to at least 1 percent of the total amount of employee group life insurance in the United States in all life insurance companies.
(b)A company issuing a policy under subsection (a) of this section shall establish an administrative office under a name approved by the Office.
(c)The Office at any time may discontinue a policy purchased from a company under subsection (a) of this section.
(d)(1)The provisions of any contract under this chapter which relate to the nature or extent of coverage or benefits (including payments with respect to benefits) shall supersede and preempt any law of any State or political subdivision thereof, or any regulation issued thereunder, which relates to group life insurance to the extent that the law or regulation is inconsistent with the contractual provisions.
(2)For the purpose of this section, “State” means a State of the United States, the District of Columbia, the Commonwealth of Puerto Rico, and a territory or possession of the United States.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

DerivationU.S. CodeRevised Statutes andStatutes at Large 5 U.S.C. 2096 (less (c)–(e)).Aug. 17, 1954, ch. 752, § 7 (less (c)–(e)), 68 Stat. 739. In subsection (a), the words “as determined by it” are omitted as unnecessary. Standard changes are made to conform with the definitions applicable and the style of this title as outlined in the preface to the report.

Editorial Notes

Amendments

2011—Subsec. (a). Pub. L. 111–350 substituted “section 6101(b) to (d) of title 41” for “section 5 of title 41” in introductory provisions. 1980—Subsec. (d). Pub. L. 96–427 added subsec. (d). 1978—Subsecs. (a) to (c). Pub. L. 95–454 substituted “Office of Personnel Management” and “Office” for “Civil Service Commission” and “Commission”, respectively, wherever appearing.

Statutory Notes and Related Subsidiaries

Effective Date

of 1980 AmendmentAmendment by Pub. L. 96–427 effective Oct. 10, 1980, with the amendment to have no effect in case of an employee who died, was separated, or retired before Oct. 10, 1980, see section 10(a) of Pub. L. 96–427, set out as a note under section 8701 of this title.

Effective Date

of 1978 AmendmentAmendment by Pub. L. 95–454 effective 90 days after Oct. 13, 1978, see section 907 of Pub. L. 95–454, set out as a note under section 1101 of this title.

Reference

Citations & Metadata

Citation

5 U.S.C. § 8709

Title 5, Government Organization and Employees

Last Updated

Aug 21, 2026

Release point: 119-102