Omega accounts that lapse on their subscription are downgraded to Alpha accounts. These accounts don't "lose" any skill points or skills, but any skills or skill levels beyond those allowed for an Alpha account are inactive and cannot be used to fulfill the prerequisites of modules or ships, nor do the passive effects of those skills take effect. Functionally, Omega accounts that lapse into Alpha accounts can only access and use any of those skills that are on the Alpha skill list (and thus may not be able to fly ships that they could as an Omega pilot), but if they later upgrade back to Omega, they regain access to their full skill list.