[Congressional Record Volume 151, Number 69 (Monday, May 23, 2005)]
[House]
[Pages H3740-H3743]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




         SERVICEMEMBERS HEALTH INSURANCE PROTECTION ACT OF 2005

  Mr. BOOZMAN. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 2046) to amend the Servicemembers Civil Relief Act to limit 
premium increases on reinstated health insurance on servicemembers who 
are released from active military service, and for other purposes, as 
amended.
  The Clerk read as follows:

                               H.R. 2046

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Servicemembers' Health 
     Insurance Protection Act of 2005''.

     SEC. 2. LIMITATION ON PREMIUM INCREASES FOR REINSTATED HEALTH 
                   INSURANCE OF SERVICEMEMBERS RELEASED FROM 
                   ACTIVE MILITARY SERVICE.

       (a) Premium Protection.--Section 704 of the Servicemembers 
     Civil Relief Act (50 U.S.C. App. 594) is amended by adding at 
     the end the following new subsection:
       ``(e) Limitation on Premium Increases.--
       ``(1) Premium protection.--The amount of the premium for 
     health insurance coverage that was terminated by a 
     servicemember and required to be reinstated under subsection 
     (a) may not be

[[Page H3741]]

     increased, for the balance of the period for which coverage 
     would have been continued had the coverage not been 
     terminated, to an amount greater than the amount chargeable 
     for such coverage before the termination.
       ``(2) Increases of general applicability not precluded.--
     Paragraph (1) does not prevent an increase in premium to the 
     extent of any general increase in the premiums charged by the 
     carrier of the health care insurance for the same health 
     insurance coverage for persons similarly covered by such 
     insurance during the period between the termination and the 
     reinstatement.''.
       (b) Technical Amendment.--Subsection (b)(3) of such section 
     is amended by striking ``if the'' and inserting ``in a case 
     in which the''.

     SEC. 3. PRESERVATION OF EMPLOYER-SPONSORED HEALTH PLAN 
                   COVERAGE FOR CERTAIN RESERVE-COMPONENT MEMBERS 
                   WHO ACQUIRE TRICARE ELIGIBILITY.

       (a) Continuation of Coverage.--Subsection (a)(1) of section 
     4317 of title 38, United States Code, is amended by inserting 
     after ``by reason of service in the uniformed services,'' the 
     following: ``or such person becomes eligible for medical and 
     dental care under chapter 55 of title 10 by reason of 
     subsection (d) of section 1074 of that title,''.
       (b) Reinstatement of Coverage.--Subsection (b) of such 
     section is amended--
       (1) in paragraph (1)--
       (A) by inserting after ``by reason of service in the 
     uniformed services,'' the following: ``or by reason of the 
     person's having become eligible for medical and dental care 
     under chapter 55 of title 10 by reason of subsection (d) of 
     section 1074 of that title,''; and
       (B) by inserting ``or eligibility'' before the period at 
     the end of the first sentence; and
       (2) by adding at the end the following new paragraph:
       ``(3) In the case of a person whose coverage under a health 
     plan is terminated by reason of the person having become 
     eligible for medical and dental care under chapter 55 of 
     title 10 by reason of subsection (d) of section 1074 of that 
     title but who subsequently does not commence a period of 
     active duty under the order to active duty that established 
     such eligibility because the order is canceled before such 
     active duty commences, the provisions of paragraph (1) 
     relating to any exclusion or waiting period in connection 
     with the reinstatement of coverage under a health plan shall 
     apply to such person's continued employment, upon the 
     termination of such eligibility for medical and dental care 
     under chapter 55 of title 10 that is incident to the 
     cancellation of such order, in the same manner as if the 
     person had become reemployed upon such termination of 
     eligibility.''.

     SEC. 4. TECHNICAL CORRECTIONS TO VETERANS BENEFITS 
                   IMPROVEMENT ACT OF 2004.

       (a) Corrections.--Section 2101 of title 38, United States 
     Code, as amended by section 401 of the Veterans Benefits 
     Improvement Act of 2004 (Public Law 108-454; 118 Stat. 
     3614), is amended--
       (1) by redesignating subsection (c) as subsection (d);
       (2) by inserting after subsection (b) a new subsection (c) 
     consisting of the text of subsection (c) of such section 2101 
     as in effect immediately before the enactment of such Act, 
     modified--
       (A) in paragraph (1)--
       (i) in the first sentence, by striking ``paragraph (1), 
     (2), or (3)'' and inserting ``subparagraph (A), (B), (C), or 
     (D) of paragraph (2)''; and
       (ii) in the second sentence, by striking ``the second 
     sentence'' and inserting ``paragraph (3)''; and
       (B) in paragraph (2)--
       (i) in the first sentence, by striking ``paragraph (1)'' 
     and inserting ``paragraph (2)''; and
       (ii) in the second sentence, by striking ``paragraph (2)'' 
     and inserting ``paragraph (3)''; and
       (3) in subsection (a)(3), by striking ``subsection (c)'' in 
     the matter preceding subparagraph (A) and inserting 
     ``subsection (d)''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall take effect as of December 10, 2004, as if enacted 
     immediately after the enactment of the Veterans Benefits 
     Improvement Act of 2004 on that date.

     SEC. 5. NOTIFICATION TO MEMBER'S SPOUSE OR NEXT OF KIN OF 
                   CERTAIN ELECTIONS UNDER SERVICEMEMBERS' GROUP 
                   LIFE INSURANCE PROGRAM.

       (a) Repeal.--Subsections (f) and (g) of section 1012 of 
     division A of the Emergency Supplemental Appropriations Act 
     for Defense, the Global War on Terror, and Tsunami Relief 
     Act, 2005 (Public Law 109-13), and the amendments made by 
     those subsections, are repealed, and sections 1967 and 1970 
     of title 38, United States Code, shall be applied as if those 
     subsections had not been enacted.
       (b) Notification Required.--Section 1967 of title 38, 
     United States Code, is amended by adding at the end the 
     following new subsection:
       ``(f)(1)(A) Whenever a member who is eligible for insurance 
     under this subchapter executes a life insurance option 
     specified in subparagraph (B), the Secretary concerned shall 
     notify the member's spouse or, if the member is unmarried, 
     the member's next of kin, in writing, of the execution of 
     that option.
       ``(B) A life insurance option referred to in subparagraph 
     (A) is any of the following:
       ``(i) An election under subsection (a)(2)(A) not to be 
     insured under this subchapter.
       ``(ii) An election under subsection (a)(3)(B) for insurance 
     of the member in an amount that is less than the maximum 
     amount provided under subsection (a)(3)(A)(i).
       ``(iii) An application under subsection (c) for insurance 
     coverage under this subchapter or for a change in the amount 
     of such insurance coverage.
       ``(iv) In the case of a married member, a designation under 
     section 1970(a) of this title of any person other than the 
     spouse or a child of the member as the beneficiary of the 
     member for any amount of insurance under this subchapter.
       ``(2) Whenever an unmarried member who is eligible for 
     insurance under this subchapter marries, the Secretary 
     concerned shall notify the member's spouse in writing as to 
     whether the member is insured under this subchapter. In the 
     case of a member who is so insured, the Secretary shall 
     include with such notification--
       ``(A) if the member has made an election described in 
     paragraph (1)(B)(ii), notice that the amount of such 
     insurance is less than the maximum amount provided under 
     subsection (a)(3)(A)(i); and
       ``(B) if the member has designated a beneficiary other than 
     the spouse or a child of the member for any amount of such 
     insurance, notice that such a designation has been made.
       ``(3)(A) Notification of a spouse under paragraph (1) or 
     (2), or of any other person under paragraph (1), for purposes 
     of this subsection shall consist of a good faith effort to 
     provide information to the spouse or other person at the last 
     address of the spouse or other person known to the Secretary 
     concerned.
       ``(B) Failure to provide such notification, or to provide 
     such notification in a timely manner, does not affect the 
     validity of any life insurance option referred to in 
     paragraph (1)(B).''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Arkansas (Mr. Boozman) and the gentlewoman from South Dakota (Ms. 
Herseth) each will control 20 minutes.
  The Chair recognizes the gentleman from Arkansas (Mr. Boozman).
  Mr. BOOZMAN. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, H.R. 2046, as amended, the Servicemembers' Health 
Insurance Protection Act of 2005, provides several improvements to the 
Servicemembers' Civil Relief Act and the Uniformed Services Employment 
and Reemployment Rights Act.
  Mr. Speaker, this is a bipartisan bill and was passed by unanimous 
consent in both the Subcommittee on Economic Opportunity and the full 
Committee on Veterans Affairs. I am delighted to bring this important 
piece of legislation before the House.
  The bill has several components. Section 2 of the bill would amend 
section 704 of the Servicemembers Civil Relief Act, otherwise known as 
the SCRA, to limit premium increases on reinstated health insurance 
coverage of servicemembers who are released from active duty. Section 
704 provides that a servicemember who is ordered to active duty is 
entitled, upon release, to reinstatement of any health insurance in 
effect on the day before actually beginning active duty.
  This amendment would prohibit any increase in individual health 
insurance premiums from the period of time for which coverage would 
have been continued, had the coverage not been terminated due to 
military service. However, a health care insurance carrier would be 
allowed to increase the servicemember's premium if the general premium 
increase was implemented for all persons similarly covered during the 
period between the termination and the reinstatement.
  Section 704 of the SCRA currently contains no express provision 
regarding premium increases. This amendment to the SCRA would ensure 
that servicemembers are treated fairly upon reinstatement of their 
health insurance and are not discouraged by premium increases from 
exercising their reinstatement entitlement rights.
  Section 3 of the bill would amend section 4317 of the Uniformed 
Services Employment and Reemployment Rights Act, better known as 
USERRA, to preserve employer-sponsored health plan reinstatement rights 
for certain Reservists who, prior to entering active duty, acquire 
TRICARE coverage under Title X. This TRICARE option only became 
available by an amendment to the TRICARE authority enacted in the 
National Defense Authorization Act for fiscal year 2004 on November 24, 
2003.
  Under existing law, an employer is only required to provide employees 
returning from active duty with the same employer-sponsored health 
benefits they had when they reported for active duty. Unless the 
employer voluntarily chooses to allow immediate reinstatement of 
coverage, an employee would be required to wait for the next open 
enrollment opportunity provided by the employer.
  Section 3 would confirm the health insurance reinstatement rights 
under USERRA to the change in TRICARE. This amendment to section 4317 
of USERRA would protect both employees who did not actually report 
because

[[Page H3742]]

of cancellation of active duty orders and employees who served a period 
of active duty.
  Section 4 of the bill would make a technical correction to the Public 
Law 108-454 regarding the VA's adaptive housing grant program.
  Finally, section 5 of the bill would make a correction to the 
servicemembers' group life insurance provisions of H.R. 1268 regarding 
spousal notification for servicemembers' elections of coverage and 
designation of beneficiaries.
  Mr. Speaker, I reserve the balance of my time.
  Ms. HERSETH. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I rise today in strong support of H.R. 2046, as amended, 
the Servicemembers' Health Insurance Protection Act of 2005.
  I would like to thank the gentleman from Indiana (Chairman Buyer) and 
the gentleman from Illinois (Ranking Member Evans) for their leadership 
on the full committee and for their good work in shepherding this bill 
to the floor today. I would also like to personally thank the gentleman 
from Arkansas (Chairman Boozman) of the Subcommittee on Economic 
Opportunity for his steady bipartisan leadership on the subcommittee.
  Mr. Speaker, I support this legislation and am an original cosponsor 
of the bill. This legislation is aimed at improving the quality of life 
of our servicemembers, veterans, and military families. It is very 
important for the increasingly activated National Guard and Reserve 
components, our citizen-soldiers who leave behind their families, 
employment, and comforts of home to defend this Nation.
  The State of South Dakota has had and continues to have National 
Guard units activated and serving in the Middle East. This legislation 
will protect them and their families as they return home to civilian 
life and seek to reinstate their private or employer-sponsored health 
insurance coverage.
  Mr. Speaker, this legislation also includes two corrective 
provisions, as the gentleman from Arkansas (Chairman Boozman) 
described, which amend and improve the administration of the disabled 
veteran adaptive housing grant program and the servicemembers' group 
life insurance program respectively. I am pleased we were able to 
include these important corrective measures.
  Mr. Speaker, the servicemembers, military families and veterans of 
this Nation have earned and deserve our best efforts here in Congress. 
Indeed, they deserve so much more. I am proud to support this 
legislation, and I am confident it will benefit the veterans of my home 
State of South Dakota, as well as the other veterans across the 
country.
  I fully support H.R. 2046, as amended, and urge my colleagues to do 
the same.
  Mr. Speaker, I reserve the balance of my time.
  Mr. BOOZMAN. Mr. Speaker, I yield 3 minutes to the gentlewoman from 
Florida (Ms. Ginny Brown-Waite).
  Ms. GINNY BROWN-WAITE of Florida. Mr. Speaker, I rise today to thank 
our Committee on Veterans' Affairs Chairman, the gentleman from Indiana 
(Chairman Buyer), as well as the gentleman from California (Mr. 
Filner), the Ranking Member, the gentleman from Illinois (Mr. Evans), 
and the subcommittee chairman, the gentleman from Arkansas (Mr. 
Boozman) for giving Congress the opportunity to vote on the 
Servicemembers' Health Insurance Protection Act.
  Today, when a man or a woman makes a decision to serve their country 
through the Armed Forces, most have to give up their employer-sponsored 
health care. Although TRICARE insures these enlistees, in the eyes of 
their health care providers, they are technically without coverage 
until they return, and then they are subject to unfair premium 
increases as a ``new employee.'' America asks these young men and women 
to fight for our country, then we allow their insurance costs to 
increase when they return. How, many would ask, is this at all fair?
  The bill that we have before us, H.R. 2046, specifies that when a 
person enlists in the military, they will return to the same low-cost, 
employer-sponsored health insurance that they had before their absence. 
This common-sense legislation enjoyed unanimous support from Committee 
on Veterans' Affairs members, is supported by the Department of 
Defense, Department of Labor, and veterans' groups around the country.
  I look forward to voting in favor of H.R. 2046 and I encourage my 
colleagues to do the same. Certainly those members of the military, 
whether it is active or the Reserve, when we have so many people 
serving today in the war on terrorism, they deserve to have this kind 
of legislation passed so that they can come back home and again provide 
the kind of health care insurance that their family needs.
  Ms. HERSETH. Mr. Speaker, I yield 2 minutes to the gentleman from 
Illinois (Mr. Evans), the ranking member of the Committee on Veterans' 
Affairs.
  Mr. EVANS. Mr. Speaker, I rise in strong support of H.R. 2046, as 
amended. I would like to thank the gentleman from Indiana (Chairman 
Buyer) and the chairman and ranking member of the Subcommittee on 
Economic Opportunities, the gentleman from Arkansas (Mr. Boozman) and 
the gentlewoman from South Dakota (Ms. Herseth) for their hard work in 
bringing this legislation to the floor today.
  Mr. Speaker, this has been a bipartisan effort. Let us keep it that 
way and get the job done for the veterans who deserve our help through 
the difficult times that they are facing. They face danger every day, 
and I am proud to represent them here in the United States House of 
Representatives. It is our responsibility to provide them the necessary 
benefits and protections as they serve this Nation.
  Mr. Speaker, I urge my colleagues to support this legislation.
  Mr. BOOZMAN. Mr. Speaker, I reserve the balance of my time.
  Ms. HERSETH. Mr. Speaker, I yield 3 minutes to the gentleman from 
California (Mr. Filner).
  Mr. FILNER. Mr. Speaker, I thank the gentlewoman for yielding me this 
time, and I thank the gentleman from Arkansas (Chairman Boozman) for 
his great work on this very necessary item.
  I too rise today in support of the Servicemembers' Health Insurance 
Protection Act of 2005, a bill that we have heard will assure the men 
and women in active service that their private health insurance 
premiums will not be increased, nor will reinstatement be delayed when 
they return from Iraq or Afghanistan. The last thing these 
servicemembers need while they are at war is to worry about the details 
of their life after service, and health insurance, of course, being one 
of the most important.
  H.R. 2046 will ensure a smooth transition from health care under the 
military to health care in civilian life.

                              {time}  1730

  This bill has support from the veterans service organizations around 
the country, as well as our Department of Defense.
  I think, as we have heard, in addition to the primary purpose of the 
bill, a technical change is included which will help many disabled 
veterans to use what is called their adaptive housing grant prior to 
their discharge from the military. This will expedite their release 
from hospitalization because they will not have to wait for changes to 
be made to their homes to accommodate their disability. This provision 
was inadvertently omitted when changes were made in 2004 in the 
Veterans Benefit Act, and I am glad that we are fixing this problem 
today.
  Congress must do everything it can to recognize and reward our brave 
men and women fighting today. Many are serving longer than they 
expected. Many are in danger each and every day.
  They serve with pride and with dignity. Let us honor their service by 
passing this legislation to treat them with the respect that they 
deserve.
  Mr. BOOZMAN. Mr. Speaker, I reserve the balance of my time.
  Ms. HERSETH. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I have no further requests for time. I would just like 
to reiterate my appreciation for the leadership of the full committee, 
the gentleman from Arkansas (Chairman Boozman), and his leadership on 
the subcommittee, of course the efforts of committee staff and all of 
their hard work in advancing this important legislation, as well as 
those that were in hearings with the chairman and me and other members 
of the subcommittee, those from the Department

[[Page H3743]]

of Labor, the Department of Defense, the Department of Veterans 
Affairs, as well as many veterans organizations serving as advocates 
for veterans and their families across the country and servicemembers 
as they return.
  Mr. Speaker, I yield back the balance of my time.
  Mr. BOOZMAN. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I want to thank the gentleman from Indiana (Chairman 
Buyer); the gentleman from Illinois (Mr. Evans), our full committee 
ranking member; and the gentlewoman from South Dakota (Ms. Herseth), 
the Economic Opportunities Subcommittee ranking member, for their 
leadership and hard work on this bill. And, again, as was noted, I 
especially want to thank the staff.
  Once again, this is a bipartisan bill, and I urge all Members to 
support the Servicemembers Health Insurance Protection Act of 2005.
  Ms. JACKSON-LEE of Texas. Mr. Speaker, I rise today to support H.R. 
2046, the Servicemembers Health Insurance Protection Act of 2005. This 
legislation offered by the Chairman of the Veterans Affairs Committee 
Mr. Buyer, would limit premium increases on health insurance for 
reservists who return to their civilian jobs after serving on active 
duty and ensure that reservists whose activation is cancelled before 
they report for duty can reinstate their health care coverage. It also 
would allow disabled service members to qualify for a housing grant 
provided by the Department of Veterans Affairs before being discharged 
from active duty. I support these provisions of the legislation because 
they protect the rights the men and women of our Armed Forces when they 
are on duty.
  While I do support the provisions of this legislation, I do have 
concerns about the possible adverse impact on private insurance 
carriers. I strongly believe it is the responsibility of the Federal 
government to provide for the healthcare needs of our veterans. Private 
insurance should not carry the entire national burden of health care 
for military personnel. I hope that as the agenda of the Veterans 
Affairs Committee continues to unfold, further legislation will be 
introduced to provide healthcare for our veterans through the Federal 
government. We made a promise to our men and women in the Armed Forces 
that we would take care of them when they were no longer on active duty 
and we as a Government would be negligent if we did not keep our 
promise.
  Mr. BISHOP of New York. Mr. Speaker, I proudly rise today as a 
cosponsor and in support of H.R. 2046, the Servicemembers' Health 
Insurance Protection Act of 2005.
  As our brave men and women continue to put their lives on the line 
for our Nation, we owe each of them the health care coverage they were 
promised and make it easier for their families to manage the transition 
to active duty and back to civilian life.
  Reservists, who fulfill a critical mission in supplementing our 
fighting forces, should be treated equally and feel as safe as their 
active duty counterparts in that their employer provided insurance will 
still be available upon termination of federal benefits. But for too 
many reservists, this is not the case.
  The Servicemembers' Civil Relief Act was passed, in part, to 
guarantee reinstatement of employer-provided health care following 
separation from active duty. However, an unintended consequence of that 
law allowed insurance companies to unfairly single out reservists by 
inflating their premiums once they returned to civilian life.
  Mr. Speaker, I am pleased that we are working to correct this problem 
by offering this bill as a remedy by protecting our brave reservists 
from inflated insurance premiums and giving them a helping hand as they 
return to civilian life.
  Mr. REYES. Mr. Speaker, I rise today in support of H.R. 2046, the 
Servicemembers Health Insurance Protection (SHIP) Act of 2005, and to 
voice my strong commitment and appreciation to our nation's 
servicemembers and veterans as we head into the Memorial Day weekend.
  On May 11, 2005, my colleagues and I on the House Veterans Affairs 
Committee considered H.R. 2046. This important legislation would assist 
in providing a seamless transition for our Reservists and Guardsmen by 
curbing health insurance premium increases and preserving employer-
sponsored health care coverage. I voted for this legislation because 
our servicemembers deserve better protections and improved quality of 
life.
  I would also like to take this time to thank our past and current 
members of the U.S. Armed Forces for their selfless service to our 
country. We owe each of them a great deal of respect and appreciation, 
especially those who have made the ultimate sacrifice for our nation. 
While many of us will be fortunate enough to be surrounded by loved 
ones this Memorial Day weekend, I encourage all Americans to take this 
special time to reflect on the sacrifice of those who died while 
serving their country and to pray for our troops currently in harm's 
way.
  Mr. Speaker, I urge my colleagues in Congress to continue caring for 
our servicemembers by ensuring passage of H.R. 2046.
  Mr. CARDIN. Mr. Speaker, as our soldiers face a time of war and 
strife across the globe, we must be mindful not only of the risks that 
they face in combat, but also the barriers that they face to planning a 
secure future here at home after the battle is done.
  There are currently about 180,000 Americans serving in Iraq, and 
another 18,000 in and around Afghanistan. It is estimated that there 
are 1,652 Maryland national guard and reservists serving in combat 
today.
  This bill is important, because it shows our commitment to the future 
of our troops, to the future of their families. Today soldiers do not 
pay taxes on their combat pay, as our way of saying that they are 
paying more than their fair share in the gift of service they bestow on 
their country. This is only right, and we owe our soldiers our 
gratitude. But we also owe them the gift of a future, and this bill 
allows soldiers to plan for that future even as they are protecting 
ours.
  This bill gives soldiers the opportunity to save for their retirement 
by including combat zone pay as earned income in calculating the tax 
deduction for contributions to retirement savings plans.
  I think we should go further. In my bill, the Pension Preservation 
and Savings Expansion Act, I included a provision that allows National 
Guard members and military reservists called up on active duty to 
continue contributing to their workplace retirement plans where their 
employers pay them their salary differential during their active duty 
service. This important provision should also be brought to the floor 
for a vote.
  We have an obligation to ensure that our soldiers have a secure 
present and a secure future, and this bill takes one important step in 
that direction. I urge a ``yes'' vote on the Heroes Earned Retirement 
Opportunities Act.
  Mr. BOOZMAN. Mr. Speaker, I have no further requests for time, and I 
yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Arkansas (Mr. Boozman) that the House suspend the rules 
and pass the bill, H.R. 2046, as amended.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.

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