[Congressional Record Volume 151, Number 123 (Wednesday, September 28, 2005)]
[House]
[Pages H8413-H8416]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




      SERVICEMEMBERS' GROUP LIFE INSURANCE ENHANCEMENT ACT OF 2005

  Mr. MILLER of Florida. Mr. Speaker, I move to suspend the rules and 
concur in the Senate amendment to the bill (H.R. 3200) to amend title 
38, United States Code, to enhance the Servicemembers' Group Life 
Insurance program, and for other purposes.
  The Clerk read as follows:

       Senate amendment:
       Strike out all after the enacting clause and insert:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Servicemembers' Group Life 
     Insurance Enhancement Act of 2005''.

     SEC. 2. REPEALER.

       Effective as of August 31, 2005, section 1012 of division A 
     of the Emergency Supplemental Appropriations Act for Defense, 
     the Global War on Terror, and Tsunami Relief, 2005 (Public 
     Law 109-13; 119 Stat. 244), including the amendments made by 
     that section, are repealed, and sections 1967, 1969, 1970, 
     and 1977 of title 38, United States Code, shall be applied as 
     if that section had not been enacted.

     SEC. 3. INCREASE FROM $250,000 TO $400,000 IN AUTOMATIC 
                   MAXIMUM COVERAGE UNDER SERVICEMEMBERS' GROUP 
                   LIFE INSURANCE AND VETERANS' GROUP LIFE 
                   INSURANCE.

       (a) Maximum Under SGLI.--Section 1967 of title 38, United 
     States Code, is amended--
       (1) in subsection (a)(3)(A)(i), by striking ``$250,000'' 
     and inserting ``$400,000''; and
       (2) in subsection (d), by striking ``of $250,000'' and 
     inserting ``in effect under paragraph (3)(A)(i) of that 
     subsection''.
       (b) Maximum Under VGLI.--Section 1977(a) of such title is 
     amended--
       (1) in paragraph (1), by striking ``in excess of $250,000 
     at any one time'' and inserting ``at any one time in excess 
     of the maximum amount for Servicemembers' Group Life 
     Insurance in effect under section 1967(a)(3)(A)(i) of this 
     title''; and
       (2) in paragraph (2)--
       (A) by striking ``for less than $250,000 under 
     Servicemembers' Group Life Insurance'' and inserting ``under 
     Servicemembers' Group Life Insurance for less than the 
     maximum amount for such insurance in effect under section 
     1967(a)(3)(A)(i) of this title''; and
       (B) by striking ``does not exceed $250,000'' and inserting 
     ``does not exceed such maximum amount in effect under such 
     section''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect as of September 1, 2005, and shall apply 
     with respect to deaths occurring on or after that date.

[[Page H8414]]

     SEC. 4. SPOUSAL NOTIFICATIONS RELATING TO SERVICEMEMBERS' 
                   GROUP LIFE INSURANCE PROGRAM.

       Effective as of September 1, 2005, section 1967 of title 
     38, United States Code, is amended by adding at the end the 
     following new subsection:
       ``(f)(1) If a member who is married and who is eligible for 
     insurance under this section makes an election under 
     subsection (a)(2)(A) not to be insured under this subchapter, 
     the Secretary concerned shall notify the member's spouse, in 
     writing, of that election.
       ``(2) In the case of a member who is married and who is 
     insured under this section and whose spouse is designated as 
     a beneficiary of the member under this subchapter, whenever 
     the member makes 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), the 
     Secretary concerned shall notify the member's spouse, in 
     writing, of that election--
       ``(A) in the case of the first such election; and
       ``(B) in the case of any subsequent such election if the 
     effect of such election is to reduce the amount of insurance 
     coverage of the member from that in effect immediately before 
     such election.
       ``(3) In the case of a member who is married and who is 
     insured under this section, if the member makes 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, the 
     Secretary concerned shall notify the member's spouse, in 
     writing, that such a beneficiary designation has been made by 
     the member, except that such a notification is not required 
     if the spouse has previously received such a notification 
     under this paragraph and if immediately before the new 
     designation by the member under section 1970(a) of this title 
     the spouse is not a designated beneficiary of the member for 
     any amount of insurance under this subchapter.
       ``(4) A notification required by this subsection is 
     satisfied by a good faith effort to provide the required 
     information to the spouse at the last address of the spouse 
     in the records of the Secretary concerned. Failure to provide 
     a notification required under this subsection in a timely 
     manner does not affect the validity of any election specified 
     in paragraph (1) or (2) or beneficiary designation specified 
     in paragraph (3).''.

     SEC. 5. INCREMENTS OF INSURANCE THAT MAY BE ELECTED.

       (a) Increase in Increment Amount.--Subsection (a)(3)(B) of 
     section 1967 of title 38, United States Code, is amended by 
     striking ``member or spouse'' in the last sentence and 
     inserting ``member, be evenly divisible by $50,000 and, in 
     the case of a member's spouse,''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect as of September 1, 2005.
  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Florida (Mr. Miller) and the gentlewoman from Nevada (Ms. Berkley) each 
will control 20 minutes.
  The Chair recognizes the gentleman from Florida (Mr. Miller).
  Mr. MILLER of Florida. Mr. Speaker, I yield myself such time as I may 
consume.
  (Mr. MILLER of Florida asked and was given permission to revise and 
extend his remarks.)
  Mr. MILLER of Florida. Mr. Speaker, on July 14 of this year, the 
Committee on Veterans' Affairs reported H.R. 3200, the Servicemembers' 
Group Life Insurance Enhancement Act of 2005. On July 26 of this year, 
the House passed the bill by a vote of 424-0.
  Among other things, this bill would provide a permanent authorization 
for increases in maximum life insurance covered under the 
Servicemembers' Group Life Insurance Program and the Veterans Group 
Life Insurance Program from $250,000 to $400,000.

                              {time}  1330

  Public Law 109-13, the Emergency Supplemental Appropriations Act For 
Defense, the Global War on Terror, and the Tsunami Relief, 2005, 
increased the maximum coverage to $400,000 under these programs; 
however, the authorization expires in just 2 days, that is, September 
30.
  It is my understanding that during negotiations on the supplemental 
that the Senate included the termination date which was approved in the 
conference report to afford the legislative committees of jurisdiction 
the opportunity to hold hearings and further consider the specifics of 
the emergency authorization before it was made permanent.
  The increased level of coverage was requested by the President 
because of concerns that death benefits for survivors of servicemembers 
were inadequate as our Nation fights the global war on terrorism. 
Further, Public Law 109-13 mandated spousal consent even in cases where 
the couple is estranged, as long as they are still legally married. The 
committee does not believe providing the spouse such a ``veto'' 
authority over life insurance elections is good public policy. The 
spousal consent requirement could also result, for example, in a 
servicemember's spouse excluding stepchildren as beneficiaries. The 
government should not interfere legally in a servicemember's highly 
personal choices about such family matters as this.
  H.R. 3200, as amended, which the Senate passed yesterday, would 
instead require the military service secretary concerned to provide 
written notification to the spouse.
  In an effort to expedite the passage of this bill as amended, we 
concur with the Senate's decision to drop the provisions stating that 
in cases of an unmarried servicemember, or a servicemember who marries 
while on active duty, notification be made to the next of kin or new 
spouse as to their insurance election.
  The Committee believes notification is the preferable way of ensuring 
that the spouse is informed about this important financial decision 
while preserving the individual right of the servicemember to make 
decisions about life insurance coverage themselves.
  Finally, Public Law 109-13 also provided for a new Traumatic Injury 
Protection program which goes into effect on the 1st of December this 
year. The committee has agreed to review this proposal in the coming 
year after having an opportunity to monitor the existing program. As 
amended, H.R. 3200 does not include this provision.
  Mr. Speaker, I reserve the balance of my time.
  Ms. BERKLEY. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I would like to thank Chairman Buyer, ranking member 
Evans, and subcommittee chairman Miller as well as Senator Craig and 
Senator Akaka on the Senate side for moving forward on this bill.
  As a result of our mutual cooperation, the men and women currently 
serving in the military will be able to retain insurance coverage of 
$400,000 on October 1 of 2005.
  H.R. 3200, as amended, would make permanent the increase in maximum 
Servicemembers' Group Life Insurance, SGLI, to $400,000 passed earlier 
this year. That increase was provided as the gentleman from Florida has 
stated by Public Law 109-13, but is set to expire on September 30, 
2005. Immediate passage of this legislation is necessary in order to 
prevent any gaps in coverage under the SGLI program.
  I truly appreciate the cooperation of the gentleman from Florida as 
well as that of the Senate Committee on Veterans' Affairs in addressing 
my concerns that spousal consent not be a part of this SGLI program.
  We have heard time and time again from estranged spouses throughout 
the country that they were upset that under current law they must seek 
to obtain the consent of an estranged spouse before selecting less than 
the maximum amount of life insurance. I am also pleased that the 
compromise bill recognizes the importance of allowing service men and 
women to name a child as a beneficiary of their SGLI policy without 
notification of a present spouse. I believe we need to allow service 
men and women to make such decisions without any pressure to ignore the 
financial responsibility to their children of prior marriages.
  The bill under consideration today strikes the right balance, in my 
opinion, for notification to spouses who would potentially be affected 
by the servicemembers' coverage and beneficiary decisions. This bill is 
urgently needed to provide continuous coverage to our service men and 
women. It will benefit the Nevadans that I represent as well as all 
Americans who are currently serving in the Armed Forces and their 
families.
  I urge all Members to support H.R. 3200.
  Mr. Speaker, I yield 2 minutes to the gentleman from Illinois (Mr. 
Evans), the wonderful ranking Democratic member on the committee.
  Mr. EVANS. Mr. Speaker, I rise in support of H.R. 3200, as amended by 
the Senate.
  Earlier this year, Congress increased the amount of insurance 
available to servicemembers to $400,000. That provision is scheduled to 
expire September 30, 2005. We need to make the increase permanent now.
  Under this bill, men and women currently serving will receive 
$400,000 in life insurance unless they choose to receive the lower 
amount.

[[Page H8415]]

  H.R. 3200, as amended, will receive my full support. It deserves the 
support of every Member of this body.
  Ms. BERKLEY. Mr. Speaker, I thank the gentleman from Florida (Mr. 
Miller) for his extraordinary cooperation on this legislation.
  Mr. Speaker, I have no further requests for time, and I yield back 
the balance of my time.
  Mr. MILLER of Florida. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, like my colleague, I would like to say thank you to the 
gentleman from Indiana (Mr. Buyer), the chairman of the committee, and 
the gentleman from Illinois (Mr. Evans), the ranking member, for their 
cooperation in this legislation. I also commend the gentlewoman from 
Nevada (Ms. Berkley), the ranking member on our subcommittee, as well 
as the gentleman from New Hampshire (Mr. Bradley), for working with me 
and drafting this compromise agreement.
  I particularly want to thank those on the Senate side, Senator Craig 
and Senator Akaka, for ensuring that this important legislation was 
considered in the Senate and returned to the House to allow for final 
passage.
  Congress has to act promptly to ensure permanent SGLI authorization 
is enacted before September 30, or else insurance coverage levels will 
revert to $250,000 on the 1st of October of this year. I do not think 
any Member of this body wants to see this happen.
  Mr. Speaker, I strongly urge my colleagues to support H.R. 3200, as 
amended.
  For the benefit of my colleagues, the following is a joint 
explanatory statement describing the compromise agreement which we have 
reached with the other body.

     Joint Explanatory Statement on Senate Amendments to H.R. 3200

       H.R. 3200, as amended, the Servicemembers' Group Life 
     Insurance Enhancement Act of 2005, reflects a Compromise 
     Agreement reached by the House and Senate Committees on 
     Veterans' Affairs (the Committees) on the following bills 
     considered in the House and Senate during the 109th Congress: 
     H.R. 2046, as amended; H.R. 3200 (House Bills); and S. 1235, 
     as amended (Senate Bill). H.R. 2046, as amended, passed the 
     House on May 23, 2005; H.R. 3200 passed the House on July 26, 
     2005; and S. 1235, as amended, reported to the Senate on 
     September 21, 2005.
       The Committees have prepared the following explanation of 
     H.R. 3200, as amended (Compromise Agreement). Differences 
     between the provisions contained in the Compromise Agreement 
     and the related provisions of H.R. 2046, as amended; H.R. 
     3200; and S. 1235, as amended, are noted in this document, 
     except for clerical corrections, conforming changes made 
     necessary by the Compromise Agreement, and minor drafting, 
     technical, and clarifying changes.


                                REPEALER

     Current law
       Section 1012 of division A of the Emergency Supplemental 
     Appropriations Act for Defense, the Global War on Terror, and 
     Tsunami Relief, 2005 (Public Law 109-13), amended sections 
     1967, 1969, 1970, and 1977 of title 38, United States Code. 
     The provisions in section 1012 of Public Law 109-13 expire on 
     September 30, 2005.
     House bills
       Section 2 of H.R. 3200 would repeal, effective August 31, 
     2005, section 1012 of Public Law 109-13 as if that section 
     had not been enacted.
     Senate bill
       Section 101(d) of S. 1235, as amended, stipulates that 
     those elements of the Supplemental Appropriations Act that 
     will not be extended, in whole, beyond the September 30, 
     2005, termination date would not be treated for any purpose 
     as having gone into effect.
     Compromise agreement
       Section 2 of the Compromise Agreement follows the House 
     language.


INCREASE FROM $250,000 TO $400,000 IN AUTOMATIC MAXIMUM COVERAGE UNDER 
SERVICEMEMBERS' GROUP LIFE INSURANCE AND VETERANS' GROUP LIFE INSURANCE

     Current law
       Sections 1967 and 1977(a) of title 38, United States Code, 
     provide up to $400,000 in maximum coverage allowable under 
     Servicemembers' Group Life Insurance (SGLI) and Veterans' 
     Group Life Insurance (VGLI). The maximum coverage of $400,000 
     is automatically provided unless the service member or 
     veteran, as the case may be, declines coverage or elects 
     coverage at a reduced amount. Declinations or elections of 
     less than the maximum amount must be in writing. As of 
     October 1,2005, the maximum coverage under both SGLI and VGLI 
     will be reduced to $250,000 (section 1012 of Public Law 109-
     13).
     House bills
       Section 3 of H.R. 3200 would make permanent the maximum 
     coverage allowable under sections 1967 and 1977(a) of title 
     38, United States Code, effective September I, 2005.
     Senate bill
       Sections 101(a)(I)(B)(i) and 101(c) of S. 1235, as amended, 
     contain similar provisions.
     Compromise agreement
       Section 3 of the Compromise Agreement follows the House 
     language with minor technical changes.


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

     Current law
       Section 1967 of title 38, United States Code, requires a 
     married servicemember to receive written spousal consent 
     prior to making a SGLI election for less than the maximum 
     coverage amount. Similarly, the Secretary concerned is 
     required to notify an unmarried servicemember's beneficiary 
     or next of kin if the servicemember elects less than the 
     maximum coverage amount.
       Section 1970 of title 38, United States Code, prohibits a 
     married servicemember from modifying a beneficiary 
     designation without providing written notification to the 
     spouse.
       The consent and notification requirements of sections 1967 
     and 1970 of title 38, United States Code, expire on September 
     30,2005 (section 1012 of Public Law 109-13).
     House bills
       Section 5 of H.R. 2046, as amended, and section 4 of H.R. 
     3200, would require the uniformed services Secretary 
     concerned to notify, in writing, a married servicemember's 
     spouse, or an unmarried servicemember's next of kin, of an 
     insurance election (1) not to be insured, (2) to be insured 
     for an amount less than the maximum, or (3) to be insured 
     if not insured or to change the amount of insurance 
     coverage. The House bills would also require the Secretary 
     concerned to notify, in writing, the spouse of a married 
     servicemember if the servicemember designated anyone other 
     than the spouse or child of the member as the beneficiary. 
     When a servicemember marries, the Secretary concerned 
     would be required to notify the new spouse whether the 
     servicemember is insured under SGLI and when applicable, 
     that the servicemember has elected less than the maximum 
     amount of coverage or that the servicemember has 
     designated someone other than the member's spouse or child 
     as the policy beneficiary. Finally, section 4 of H.R. 3200 
     would provide that written notification shall consist of a 
     good faith effort by the Secretary concerned to provide 
     the required information to the servicemember's spouse or 
     other person at the last known address of the spouse or 
     next of kin in the records of the Secretary. Failure to 
     provide such notification would not invalidate a 
     servicemembers' election.
     Senate bill
       Section 101(a)(1)(A) of S. 1235, as amended, would require 
     the Secretary concerned to make a good faith effort to notify 
     the spouse of a servicemember if the servicemember elects to 
     reduce amounts of insurance coverage or name a beneficiary 
     other than the servicemember's spouse or child.
     Compromise agreement
       Section 4 of the Compromise Agreement generally follows the 
     Senate language. The spouse of a married servicemember would 
     be notified if the servicemember elects not to be insured 
     under SGLI or if the beneficiary named by the servicemember 
     is someone other than the spouse or child of the 
     servicemember. The spouse of a servicemember would receive an 
     initial notification if the servicemember elected less than 
     the amount of maximum coverage available. Notice to a spouse 
     concerning a subsequent decrease in the amount of life 
     insurance or a change of beneficiary would be required only 
     if the servicemember had previously designated the spouse as 
     the beneficiary. When the spouse of a servicemember is not 
     named as the beneficiary of the policy, the Committees find 
     that no notice of additional changes is required.


              INCREMENTS OF INSURANCE THAT MAY BE ELECTED

     Current law
       Section 1967 of title 38, United States Code, requires that 
     a servicemember's SGLI election be evenly divisible by 
     $50,000. On October 1, 2005, coverage will be divisible by 
     $10,000 (section 1012 of Public Law 109-13).
     House bills
       Section 5 of H.R. 3200 would make permanent the requirement 
     that SGLI for servicemembers be provided in increments of 
     $50,000.
     Senate bill
       Section 101(a)(1)(B) of S. 1235, as amended, contains 
     similar language.
     Compromise agreement
       Section 5 of the Compromise Agreement contains this 
     provision.

                   Legislative Provision Not Adopted


           AUTHORITY TO ELECT NEW TRAUMATIC INJURY PROTECTION

     Current law
       Section 1032 of Public Law 109-13 added a new section 1980A 
     (Traumatic Injury Protection) to chapter 19 of title 38, 
     United States Code. Section 1980A becomes effective on 
     December 1, 2005. Servicemembers insured under SGLI will be 
     automatically enrolled in the Traumatic Injury Protection 
     program and are required to participate in the program.

[[Page H8416]]

     House bills
       Section 6 of H.R. 3200 would permit a servicemember to 
     elect in writing not to be covered under the Traumatic Injury 
     Protection program. A servicemember who declines coverage 
     would be able to elect coverage at a later date upon written 
     application, proof of good health, and in compliances with 
     terms or conditions as may be prescribed by the Secretary, 
     but coverage would apply only with respect to injuries 
     occurring after a subsequent election. In any case, a 
     servicemember would be required to be insured under SGLI to 
     participate in Traumatic Injury Protection.
     Senate bill
       The Senate bill contains no comparable provision.
     Compromise agreement
       The Committees agree to further explore this provision 
     during the course of their oversight responsibilities of the 
     Traumatic Injury Protection program.

  Mr. BUYER. Mr. Speaker, I am pleased we are considering this bill 
today. As my colleagues are aware, Public Law 109-13, the Emergency 
Supplemental, included provisions which made changes to VA's insurance 
program for active duty servicemembers and veterans. However, these 
changes expire on September 30, 2005.
  H.R. 3200, as amended, would: Repeal section 1012 of the 
Supplemental, the section dealing with the insurance changes, and 
replace it with the text of H.R. 3200, as amended; make permanent the 
increase from $250,000 to $400,000 in maximum Servicemembers' Group and 
Veterans' Group Life Insurance coverage; make permanent the increments 
of SGLI coverage from $10,000 to $50,000; and require the military 
service Secretary concerned to notify a servicemember's spouse, in 
writing, if the servicemember declines SGLI or chooses an amount less 
than the maximum, as well as notify the spouse if someone other than 
the spouse or child is designated as the policyholders' beneficiary.
  Similar language was included in H.R. 2046, which passed the House on 
May 23rd of this year.
  The spousal notification language does not apply to the Veterans' 
Group Life Insurance program.
  There were no public hearings prior to House and Senate passage of 
the defense emergency supplemental. In June, the Subcommittee on 
Disability Assistance and Memorial Affairs, chaired by Jeff Miller of 
Florida, held a hearing on the provisions included in today's bill, and 
it is supported by the Administration and veterans groups.
  H.R. 3200, as amended, will ensure the current $400,000 maximum level 
of insurance coverage is available to millions of active duty 
servicemembers, Reservists, and veterans, as well as commissioned 
members of the National Oceanic and Atmospheric Administration and the 
Public Health Service. I cannot underestimate the impact of this 
legislation.
  Mr. Speaker, I applaud Chairman Miller and Ms. Berkley, the ranking 
member of the Subcommittee on Disability Assistance and Memorial 
Affairs, for their hard work and active participation in crafting this 
bill, as well as the subcommittee vice chairman, Jeb Bradley. This has 
indeed been a team effort.
  I also want to thank the subcommittee staffs on both sides of the 
aisle--Paige McManus, Chris McNamee, and Mary Ellen McCarthy.
  Mr. Speaker, as the original increase in SGLI and VGLI expire at 
midnight this Friday, I urge my colleagues to support the 
Servicemembers' Group Life Insurance Enhancement Act.
  Mr. MILLER of Florida. Mr. Speaker, I have no further requests for 
time, and I yield back the balance of my time.
  The SPEAKER pro tempore (Mr. LaHood). The question is on the motion 
offered by the gentleman from Florida (Mr. Miller) that the House 
suspend the rules and concur in the Senate amendment to the bill, H.R. 
3200.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the Senate amendment was 
concurred in.
  A motion to reconsider was laid on the table.

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