38 U.S.C. § 1973 — Forfeiture

Page 545 TITLE 38—VETERANS’ BENEFITS § 1973 retary during any policy year upon request by the insurance company or companies issuing the policy, if experience indicates that the assump- tions made in determining the tentative average premium rate for that policy year were incor- rect. (d) Each policy so purchased shall contain a provision stipulating the maximum expense and risk charges for the first policy year, which charges shall have been determined by the Sec- retary on a basis consistent with the general level of such charges made by life insurance companies under policies of group life insurance issued to large employers. Such maximum charges shall be continued from year to year, except that the Secretary may redetermine such maximum charges for any year either by agree- ment with the insurance company or companies issuing the policy or upon written notice given by the Secretary to such companies at least one year in advance of the beginning of the year for which such redetermined maximum charges will be effective. (e) Each such policy shall provide for an ac- counting to the Secretary not later than ninety days after the end of each policy year, which shall set forth, in a form approved by the Sec- retary, (1) the amounts of premiums actually ac- crued under the policy from its date of issue to the end of such policy year, (2) the total of all mortality and other claim charges incurred for that period, and (3) the amounts of the insurers’ expense and risk charge for that period. Any ex- cess of the total of item (1) over the sum of items (2) and (3) shall be held by the insurance company or companies issuing the policy as a special contingency reserve to be used by such insurance company or companies for charges under such policy only, such reserve to bear in- terest at a rate to be determined in advance of each policy year by the insurance company or companies issuing the policy, which rate shall be approved by the Secretary as being con- sistent with the rates generally used by such company or companies for similar funds held under other group life insurance policies. If and when the Secretary determines that such special contingency reserve has attained an amount es- timated by the Secretary to make satisfactory provision for adverse fluctuations in future charges under the policy, any further excess shall be deposited to the credit of the revolving fund established under section 1969(d)(1) of this title. If and when such policy is discontinued, and if after all charges have been made, there is any positive balance remaining in such special contingency reserve, such balance shall be de- posited to the credit of the revolving fund, sub- ject to the right of the insurance company or companies issuing the policy to make such de- posit in equal monthly installments over a pe- riod of not more than two years. (Added Pub. L. 89–214, § 1(a), Sept. 29, 1965, 79 Stat. 884, § 771; amended Pub. L. 93–289, § 8, May 24, 1974, 88 Stat. 169; renumbered § 1971 and amended Pub. L. 102–83, §§ 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 104–275, title IV, § 405(b)(1)(E), Oct. 9, 1996, 110 Stat. 3339.) Editorial Notes AMENDMENTS 1996—Subsec. (b). Pub. L. 104–275 substituted ‘‘Servicemembers’ Group’’ for ‘‘Servicemen’s Group’’. 1991—Pub. L. 102–83, § 5(a), renumbered section 771 of this title as this section. Subsec. (a). Pub. L. 102–83, § 5(c)(1), substituted ‘‘1966’’ for ‘‘766’’. Pub. L. 102–83, § 4(b)(1), (2)(E), substituted ‘‘Sec- retary’’ for ‘‘Administrator’’ in two places. Subsec. (b). Pub. L. 102–83, § 5(c)(1), substituted ‘‘1969(b)’’ for ‘‘769(b)’’. Pub. L. 102–83, § 4(b)(1), (2)(E), substituted ‘‘Sec- retary’’ for ‘‘Administrator’’. Subsecs. (c), (d). Pub. L. 102–83, § 4(b)(1), (2)(E), sub- stituted ‘‘Secretary’’ for ‘‘Administrator’’ wherever ap- pearing. Subsec. (e). Pub. L. 102–83, § 5(c)(1), substituted ‘‘1969(d)(1)’’ for ‘‘769(d)(1)’’. Pub. L. 102–83, § 4(b)(1), (2)(E), substituted ‘‘Sec- retary’’ for ‘‘Administrator’’ wherever appearing. 1974—Subsec. (b). Pub. L. 93–289, § 8(1), substituted ‘‘premiums for Servicemen’s Group Life Insurance’’ for ‘‘premiums for the policy or policies’’. Subsec. (e). Pub. L. 93–289, § 8(2), substituted ‘‘section 769(d)(1) of this title’’ for ‘‘section 766 of this title’’. § 1972. Benefit certificates The Secretary shall arrange to have each member insured under a policy purchased under section 1966 of this title receive a certificate set- ting forth the benefits to which the member is entitled thereunder, to whom such benefit shall be payable, to whom claims should be sub- mitted, and summarizing the provisions of the policy principally affecting the member. Such certificate shall be in lieu of the certificate which the insurance company or companies would otherwise be required to issue. (Added Pub. L. 89–214, § 1(a), Sept. 29, 1965, 79 Stat. 885, § 772; renumbered § 1972 and amended Pub. L. 102–83, §§ 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406.) Editorial Notes AMENDMENTS 1991—Pub. L. 102–83, § 5(a), renumbered section 772 of this title as this section. Pub. L. 102–83, § 5(c)(1), substituted ‘‘1966’’ for ‘‘766’’. Pub. L. 102–83, § 4(b)(1), (2)(E), substituted ‘‘Sec- retary’’ for ‘‘Administrator’’. § 1973. Forfeiture Any person guilty of mutiny, treason, spying, or desertion, or who, because of conscientious objections, refuses to perform service in the Armed Forces of the United States or refuses to wear the uniform of such force, shall forfeit all rights to Servicemembers’ Group Life Insurance and Veterans’ Group Life Insurance under this subchapter. No such insurance shall be payable for death inflicted as a lawful punishment for crime or for military or naval offense, except when inflicted by an enemy of the United States. (Added Pub. L. 89–214, § 1(a), Sept. 29, 1965, 79 Stat. 885, § 773; renumbered § 1973, Pub. L. 102–83, § 5(a), Aug. 6, 1991, 105 Stat. 406; amended Pub. L. 104–275, title IV, § 405(b)(1)(F), Oct. 9, 1996, 110 Stat. 3339; Pub. L. 110–389, title IV, § 403(d), Oct. 10, 2008, 122 Stat. 4174.) Page 546 TITLE 38—VETERANS’ BENEFITS § 1974 Editorial Notes AMENDMENTS 2008—Pub. L. 110–389 inserted ‘‘and Veterans’ Group Life Insurance’’ before ‘‘under this subchapter’’. 1996—Pub. L. 104–275 substituted ‘‘Servicemembers’ Group’’ for ‘‘Servicemen’s Group’’. 1991—Pub. L. 102–83 renumbered section 773 of this title as this section. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2008 AMENDMENT Pub. L. 110–389, title IV, § 403(e)(4), Oct. 10, 2008, 122 Stat. 4175, provided that: ‘‘The amendment made by subsection (d) [amending this section] shall apply with respect to any act of mutiny, treason, spying, or deser- tion committed on or after the date of the enactment of this Act [Oct. 10, 2008] for which a person is found guilty, or with respect to refusal because of conscien- tious objections to perform service in, or to wear the uniform of, the Armed Forces on or after the date of the enactment of this Act.’’ § 1974. Advisory Council on Servicemembers’ Group Life Insurance (a) There is an Advisory Council on Servicemembers’ Group Life Insurance. The council consists of— (1) the Secretary of the Treasury, who is the chairman of the council; (2) the Secretary of Defense; (3) the Secretary of Commerce; (4) the Secretary of Health and Human Serv- ices; (5) the Secretary of Homeland Security; and (6) the Director of the Office of Management and Budget. Members of the council shall serve without addi- tional compensation. (b) The council shall meet at least once a year, or more often at the call of the Secretary of Veterans Affairs. The council shall review the operations of the Department under this sub- chapter and shall advise the Secretary on mat- ters of policy relating to the Secretary’s activi- ties under this subchapter. (Added Pub. L. 89–214, § 1(a), Sept. 29, 1965, 79 Stat. 885, § 774; amended Pub. L. 91–291, § 6, June 25, 1970, 84 Stat. 331; Pub. L. 93–289, § 10(3), May 24, 1974, 88 Stat. 172; Pub. L. 97–295, § 4(95)(A), Oct. 12, 1982, 96 Stat. 1313; Pub. L. 99–576, title VII, § 701(41), Oct. 28, 1986, 100 Stat. 3294; Pub. L. 102–54, § 14(b)(18), June 13, 1991, 105 Stat. 284; re- numbered § 1974, Pub. L. 102–83, § 5(a), Aug. 6, 1991, 105 Stat. 406; Pub. L. 104–275, title IV, § 405(b)(1)(G), (2)(B), Oct. 9, 1996, 110 Stat. 3339; Pub. L. 108–183, title VII, § 708(a)(4), Dec. 16, 2003, 117 Stat. 2673.) Editorial Notes AMENDMENTS 2003—Subsec. (a)(5). Pub. L. 108–183 substituted ‘‘Sec- retary of Homeland Security’’ for ‘‘Secretary of Trans- portation’’. 1996—Pub. L. 104–275, § 405(b)(2)(B), substituted ‘‘Servicemembers’ Group’’ for ‘‘Servicemen’s Group’’ in section catchline. Subsec. (a). Pub. L. 104–275, § 405(b)(1)(G), substituted ‘‘Servicemembers’ Group’’ for ‘‘Servicemen’s Group’’ in introductory provisions. 1991—Pub. L. 102–83 renumbered section 774 of this title as this section. Pub. L. 102–54 amended section generally. Prior to amendment, section read as follows: ‘‘There is hereby established an Advisory Council on Servicemen’s Group Life Insurance consisting of the Secretary of the Treas- ury as Chairman, the Secretary of Defense, the Sec- retary of Commerce, the Secretary of Health and Human Services, the Secretary of Transportation, and the Director of the Office of Management and Budget each of whom shall serve without additional compensa- tion. The Council shall meet once a year, or oftener at the call of the Administrator, and shall review the op- erations under this subchapter and advise the Adminis- trator on matters of policy relating to the Adminis- trator activities thereunder.’’ 1986—Pub. L. 99–576 substituted ‘‘the Administrator’’ for ‘‘his’’ before ‘‘activities’’. 1982—Pub. L. 97–295 substituted ‘‘Health and Human Services’’ for ‘‘Health, Education, and Welfare’’. 1974—Pub. L. 93–289 substituted ‘‘Office of Manage- ment and Budget’’ for ‘‘Bureau of the Budget’’. 1970—Pub. L. 91–291 added the Secretary of Transpor- tation to the membership of the Advisory Council on Servicemen’s Group Life Insurance. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1970 AMENDMENT Amendment by Pub. L. 91–291 effective June 25, 1970, see section 14(a) of Pub. L. 91–291, set out as a note under section 1317 of this title. TERMINATION OF ADVISORY COUNCILS Advisory councils in existence on Jan. 5, 1973, to ter- minate not later than the expiration of the 2-year pe- riod following Jan. 5, 1973, unless, in the case of a coun- cil established by the President or an officer of the Federal Government, such council is renewed by appro- priate action prior to the expiration of such 2-year pe- riod, or in the case of a council established by the Con- gress, its duration is otherwise provided by law. See sections 1001(2) and 1013 of Title 5, Government Organi- zation and Employees. § 1975. Jurisdiction of District Courts The district courts of the United States shall have original jurisdiction of any civil action or claim against the United States founded upon this subchapter. (Added Pub. L. 89–214, § 1(a), Sept. 29, 1965, 79 Stat. 885, § 775; renumbered § 1975, Pub. L. 102–83, § 5(a), Aug. 6, 1991, 105 Stat. 406.) Editorial Notes AMENDMENTS 1991—Pub. L. 102–83 renumbered section 775 of this title as this section. § 1976. Effective date The insurance provided for in this subchapter and the deductions and contributions for that purpose shall take effect on the date designated by the Secretary and certified by the Secretary to each Secretary concerned. (Added Pub. L. 89–214, § 1(a), Sept. 29, 1965, 79 Stat. 885, § 776; amended Pub. L. 99–576, title VII, § 701(42), Oct. 28, 1986, 100 Stat. 3294; renumbered § 1976 and amended Pub. L. 102–83, §§ 4(b)(1), (2)(E), 5(a), Aug. 6, 1991, 105 Stat. 404–406.) Editorial Notes AMENDMENTS 1991—Pub. L. 102–83, § 5(a), renumbered section 776 of this title as this section and substituted ‘‘Secretary’’ for ‘‘Administrator’’ in two places.