[Federal Register Volume 59, Number 224 (Tuesday, November 22, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-28605]


[[Page Unknown]]

[Federal Register: November 22, 1994]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 8

RIN 2900-AF69

 

Service-Disabled Veterans' Insurance

AGENCY: Department of Veterans Affairs.

ACTION: Final regulations.

-----------------------------------------------------------------------

SUMMARY: This document amends the Department of Veterans Affairs 
regulations relating to Service-Disabled Veterans' Insurance (S-DVI) 
prefixed ``RH'' (pertaining to life insurance acquired by veterans with 
service-connected disabilities) and ``ARH'' (pertaining to gratuitous 
life insurance benefits provided to veterans with service-connected 
disabilities who are not competent to apply for such insurance) to 
reflect that the statute regarding such insurance has been amended by 
the Veterans' Benefits Programs Improvement Act of 1991 to provide for 
a two-year eligibility period and to provide that ARH gratuitous 
insurance benefits must be paid in one lump sum. These amendments are 
necessary to conform the regulations to statutory provisions.

EFFECTIVE DATE: September 1, 1991.

FOR FURTHER INFORMATION CONTACT:
Mr. Gregory C. Hosmer, Senior Insurance Specialist/Attorney, Department 
of Veterans Affairs Regional Office and Insurance Center, P.O. Box 
8079, Philadelphia, Pennsylvania 19101, (215) 951-5710 .

SUPPLEMENTARY INFORMATION: Section 201(b) of the ``Veterans' Benefits 
Programs Improvement Act of 1991,'' Public Law 102-86, in part, amended 
38 U.S.C. 1922 to increase the S-DVI eligibility period from one year 
to two years for veterans found to be eligible for S-DVI on or after 
September 1, 1991. Section 202 of Public Law 102-86 amended 38 U.S.C. 
1922 to provide that S-DVI ``ARH'' benefits must be paid in one lump 
sum. VA, accordingly, hereby amends 38 CFR 8.0 and 8.116 to reflect 
these statutory changes. VA has determined that prior publication for 
notice and public comment is unnecessary since the amendments merely 
reflect statutory changes and are not subject to rule-making 
requirements.
    The Secretary of Veterans Affairs hereby certifies that these final 
regulations will not have a significant impact on a substantial number 
of small entities as they are defined in the Regulatory Flexibility Act 
(RFA), 5 U.S.C. 601-612. The reason for this certification is that 
these final regulations merely reflect statutory changes.
    The Catalog of Federal Domestic Assistance Program number for these 
regulations is 64.103.

List of Subjects in 38 CFR Part 8

    National Service Life Insurance.

    Approved: November 8, 1994.
Jesse Brown,
Secretary of Veterans Affairs.

    For the reasons set out in the preamble, 38 CFR part 8 is amended 
as set forth below:

PART 8--NATIONAL SERVICE LIFE INSURANCE

    1. The authority citation for Part 8 is revised to read as follows:

    Authority: 38 U.S.C. 501, 1901-1929, 1981-1988, unless otherwise 
noted.

    2. In Sec. 8.0, paragraph (b)(1)(iii) is revised and an authority 
citation added to read as follows:


Sec. 8.0  Eligibility.

* * * * *
    (b) * * *
    (1) * * *
    (iii) Written application for such insurance must be submitted 
within two years from the date service connection for any disability as 
determined by the Department of Veterans Affairs is established based 
on the promulgation of a rating subsequent to discharge. If it is shown 
by satisfactory evidence that the applicant was mentally incompetent 
during any part of the two-year period, application may be filed within 
two years after a guardian is appointed or within two years after the 
removal of such mental incompetency, whichever is the earlier date. If 
service connection for a disability is based on a rating promulgated 
prior to September 1, 1991, then the written application must be 
submitted within one year of the date the rating establishing service 
connection for the disability was promulgated.

(Authority: 38 U.S.C. 1992)
* * * * *
    3. Section 8.116 is amended as follows:
    a. In paragraph 8.116(a)(1) the phrase ``1-year'' is removed and 
the phrase ``two year'' is added in place thereof. Also in paragraph 
8.116(a)(1) the phrase ``(this subparagraph is effective on or after 
Jan. 1, 1959)'' is deleted.
    b. In paragraph 8.116(a)(2) the phrase ``one year'' is removed and 
the phrase ``two year'' is added in place thereof.
    c. In paragraphs 8.116(a)(3) and 8.116(b) the phrase ``one year'' 
is removed and the phrase ``two years'' is added in place thereof.
    d. Paragraphs 8.116(d) and 8.116(e) are revised, and paragraphs 
8.116(f) and 8.116(g) are removed to read as follows:


Sec. 8.116  National Service Life Insurance granted under section 
1922(b) of title 38 U.S.C.

* * * * *
    (d) Insurance granted under section 1922(b) shall be payable in one 
lump sum.
    (e) The right of any beneficiary to payment shall be conditioned 
upon his or her being alive to receive such payment. No person shall 
have a vested right to insurance granted under section 1922(b) and no 
insurance shall be paid to the heirs, creditors, or legal 
representatives as such of the insured or of any beneficiary. If no 
person within the permitted class survives to receive the insurance or 
any part thereof, no payment shall be made.
* * * * *
    e. Paragraph (h) is redesignated as paragraph (f), and
    f. The following authority citation is added after the newly 
redesignated paragraph (f):

(Authority: 38 U.S.C. 1922)

[FR Doc. 94-28605 Filed 11-21-94; 8:45 am]
BILLING CODE 8320-01-M