DUAL BENEFITS

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An injured rural letter carrier may be entitled to benefits under the Federal Employees' Compensation Act (FECA - OWCP) and various other sources. Some of these other sources include: CSRS / FERS Disability Retirement and/or Spouse benefits, Veterans' Disability or Death benefits, and Social Security. Some of these benefits can be collected by a rural carrier at the same time that he/she is collecting OWCP benefits, while others are prohibited and considered to be a dual benefit.

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The following benefits are considered "Dual Benefits" and require an election:
Civil Service Retirement System (CSRS) and Federal Employees' Retirement System (FERS)
CSRS / FERS Survivor Benefits
Veterans' Disability or Death Benefits

Civil Service Retirement System (CSRS) and Federal Employees' Retirement System (FERS)

CSRS/FERS annuity benefits provided by the Office of Personnel Management (OPM), either regular retirement or disability can not be collected by an injured rural carrier who is currently receiving OWCP benefits. The employee must make an election between OWCP benefits and OPM benefits. The election is not irrevocable, but if any payments have been made by OPM, OPM must be repaid in full either directly by the employee, or by OWCP from FECA benefits due, before the employee may begin receiving OWCP benefits. If OPM benefits are elected, the employee is still entitled to payment of medical expenses for treatment of the accepted condition(s). If OWCP benefits are elected, the employee may receive concurrently any benefits payable from the Thrift Savings Fund.

This means that you could apply for both benefits and elect to receive OPM disability benefits while you are waiting for OWCP to adjudicate and approve your claim. Once OWCP approves you claim for a work related injury, you will have to decide which benefit is more financially beneficial to you and notify both OWCP and OPM of your election.

There is no prohibition against receipt of an OPM disability annuity during the period that a Third Party credit is being absorbed by OWCP. The claimant is not actually receiving compensation from OWCP during this period, so the payment of an OPM annuity does not constitute a dual benefit. Once the Third Party credit is exhausted, the claimant should be given the opportunity to elect between OWCP benefits and continuation of the OPM annuity.

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CSRS / FERS Survivor Benefits

OWCP does not consider the election of OPM benefits to be irrevocable. However, OPM considers an informed election of death benefits provided by OWCP to be irrevocable. This means that once a survivor selects OWCP benefits, he/she can not change their mind and start receiving OPM survivor benefits at a later date. If OPM benefits have been paid, the lump sum payment provided as part of the death benefit must be repaid in full either directly by the beneficiary, or by OWCP from benefits due, before the beneficiary may begin receiving OWCP benefits. If OWCP benefits are elected, the beneficiary may receive concurrently any benefits payable from the Thrift Savings Fund.

Where a survivor is entitled to both an OPM annuity in his or her own right because of his or her own Federal service, and an entitlement to death benefits under OWCP for a spouse, no election is required between the two benefits.

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Veterans' Disability or Death Benefits

The election is irrevocable only in those cases where the disability or death of the employee has resulted from an injury sustained in civilian employment by the United States, and the Department of Veterans Affairs has held that the same disability or death was caused by military service. An injured worker may be entitled to both benefits; however, once an election is made, he or she can not switch back to the other.

The following benefits are not considered "Dual Benefits" and may be received in addition to OWCP benefits:

1. Veterans' Pension (except as noted above)
2. Fleet Reservist Pay
3. Military Retirement or Retainer Pay
4. Social Security Act Benefits
   1. Injured rural carriers receiving a Social Security Disability benefit shall have their Social Security benefit reduced by the OWCP compensation that is payable.
   2. If an injured rural carrier is receiving regular Social Security (at age 62) and is covered under the Federal Employeesí Retirement System (FERS), the OWCP benefits will be reduced by the amount of Social Security attributable to federal service.
   3. If a survivor of a FERS employee is receiving Social Security benefits as a widow/widower, OWCP benefits for the death of an employee will be reduced by the amount of the Social Security survivor benefits attributable to the employeeís federal service.
5. CSRS or FERS Annuity, if the OWCP benefits are in the form of a Schedule Award for a specified number of weeks on the basis of a permanent loss or loss of use of a member or function of the body.

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