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                            FEHBAR
                            1615.470   Carrier investment of FEHB funds.
        
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FEHBARPart Number: 1615
        
                  

                                
                  
        Federal Employee Health Benefits Acquisition Regulation
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1615.470 Carrier investment of FEHB funds.1615.470 Carrier investment of FEHB funds.       (a) Except for contracts based on a combination of cost and price analysis (community-rated), the carrier is required to invest and reinvest all funds on hand, including any attributable to the special reserve or the reserve for incurred but unpaid claims, exceeding the funds needed to discharge promptly the obligations incurred under the contract.          (b) The carrier is required to credit income earned from its investment of FEHB funds to the special reserve on behalf of the FEHB Program. If a carrier, for any reason, fails to invest excess FEHB funds or to credit any income due to the contract, it will return or credit any investment income lost to OPM or the special reserve.          (c) Investment income. Investment income is the net amount earned by the carrier after deducting investment expenses.    **Parent topic:**  Subpart 1615.4—Contract Pricing
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