TN 3 (02-95)

GN 01703.260 How to Process Life-to-Death Conversions

A. Introduction

The death termination program terminates entitled totalization beneficiaries but does not convert auxiliary benefits to survivor benefits or pay the LSDP. Therefore, manual action must be taken.

These instructions only apply to cases in which the United States is paying totalization benefits.

B. Procedure - benefit authorizer

Benefit authorizer:

When processing life-to-death conversions:

  • Convert auxiliary benefits to survivor benefits via MADCAP using the same pro rata PIA used to compute the life benefits.

  • If there are surviving entitled children or a LSDP of less than $255 is payable, route the case to a CA to determine if currently insured status based only on U.S. coverage is met.

    Note: In most instances a higher benefit is payable when currently insured status is met based on U.S. coverage alone. This is because the benefit is not pro rated.

  • Send a notice informing the survivor(s) of the new benefit. Most agreement countries do not pay life auxiliary benefits; therefore, include a paragraph to inform the beneficiaries that survivor benefits may be payable in the foreign country. (They may apply through a local SSA field office or directly with the foreign country.)

C. Procedure - claims authorizer

Claims Authorizer:

Consider the following when evaluating fully or currently insured status.

1. Possibility of fully or currently insured status

  1. Review or develop for proof of lag earnings through the quarter of death if there is an indication they may exist.

  2. Request a current U.S. earnings record which includes the proven lag.

  3. When the earnings record is received, determine whether fully or currently insured status is met.

  4. Proceed as in 2 or 3 below.

2. Currently insured status is met

  1. If currently insured status is met based on U.S. coverage only, calculate the nontotalization survivor benefit.

  2. If the nontotalization survivor benefit is higher than the totalization benefit

    • Prepare an amended award for nontotalization benefits.

    • Request a BA to process the award through MADCAP and to change the TSC from A1 to T1.

  3. If the non-totalization benefit is lower than the totalization benefit, no further action is necessary.

3. Fully or currently insured status not met

If fully or currently insured status is not met:

  1. Annotate the earnings record that insured status is not met even with additional lag wages.

  2. Recompute the pro rata PIA to include any additional earnings.

  3. Prepare an amended award if the pro rata PIA increases.

  4. Request a BA to process the amended award through MADCAP.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0201703260
GN 01703.260 - How to Process Life-to-Death Conversions - 02/24/2014
Batch run: 02/24/2014
Rev:02/24/2014