Disabled Veterans Life Insurance Enhancement Act of 2005

Madam Speaker, I move to suspend the rules and pass the bill (H.R. 3200) to amend title 38, United States Code, to enhance the Servicemembers' Group Life Insurance program, and for other purposes.

Madam Speaker, I yield myself such time as I may consume.

Madam Speaker, on July 14, 2005, the Committee on Veterans' Affairs reported H.R. 3200, the Servicemembers' Group Life Insurance Enhancement Act of 2005. Among other things, this bill would provide a permanent authorization for increases in maximum life insurance coverage under the Servicemembers' Group Life Insurance, referred to as the SGLI program, and the Veterans' Group Life Insurance, referred to as the VGLI program from $250,000 to $400,000.

Public Law 109-113, the Emergency Supplemental Appropriations Act For Defense, the Global War on Terror, and Tsunami Relief of 2005, increased the maximum coverage to $400,000 under these programs. However, the authorization expires on September 30, 2005.

It is my understanding that the Senate included the termination date, which was approved in the conference report, to afford the legislative committees the jurisdiction and opportunity to hold public hearings and further consider the specifics of the emergency authorization before it could be made permanent.

The increased level of coverage was requested by the President because of concerns over death benefits for the survivors of servicemembers being inadequate as our Nation fights the global war on terrorism. H.R. 3200 would also repeal the provision of Public Law 109- 13 which prevents a married servicemember from declining SGLI coverage, or opting for an amount less than the maximum, without the written consent of the spouse. Public Law 109-13 mandates spousal consent, even in cases where the couple is estranged, as long as they are legally married.

The committee does not believe providing a spouse such 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.

H.R. 3200 would instead require the military service Secretary concerned to provide written notification to the spouse or the next of kin of an unmarried servicemember as to the servicemember's insurance election.

The committee believes that this is the preferable way of ensuring that the spouse or beneficiary is informed about this important financial decision, while preserving the individual right of the servicemember to make decisions about life insurance coverage.

Finally, Public Law 109-13 also provides for a new traumatic injury program. The traumatic injury program provides financial assistance in the amounts from $25,000 to $100,000 to servicemembers who suffer certain traumatic injuries.

The traumatic injury protection under current law is mandatory for servicemembers who elect SGLI coverage with premiums paid by the servicemember. No hearing had been held on this new program until June 16 of 2005, when the Veterans' Affairs Subcommittee on Disability Assistance and Memorial Affairs held a hearing on H.R. 3200 in its draft form and on the traumatic injury protection program.

H.R. 3200 would allow a servicemember to decline traumatic injury coverage. This program authorization will be effective December 1, 2005, for servicemembers, but it is retroactive to October 7, 2001, when Operation Enduring Freedom began, for qualifying losses that are a direct result of injuries incurred in Operation Enduring Freedom and/or Operation Iraqi Freedom

Madam Speaker, I reserve the balance of my time.

Madam Speaker, I yield myself such time as I may consume.

I would like to acknowledge the contributions of the gentleman from Arizona (Mr. Renzi) for his hard work on this legislation. On April 16, 2005, Mr. Renzi introduced H.R. 1618, which would create a traumatic injury protection program similar to what was enacted in Public Law 109-13.

On June 16, the gentleman from Arizona (Mr. Renzi) testified before the Subcommittee on Disability Assistance and Memorial Affairs, and his comments helped shape the bill which we are currently considering today. The gentleman from Arizona (Mr. Renzi) is a strong supporter of our Nation's servicemen and women, and I appreciate his input.

I would also note that I have had continuous dialogue with the gentleman from Arizona (Mr. Renzi), and I deeply appreciate his passion. In having grown up in a military family, he has great understanding of the sacrifices of the men and women who wear the uniform.

Madam Speaker, I yield 3 minutes to the gentleman from Arizona (Mr. Renzi).

Madam Speaker, at this time I yield 2 minutes to the gentleman from New Hampshire (Mr. Bradley), a member of the committee.

Madam Speaker, I yield myself the balance of my time.

Madam Speaker, I would like to commend the gentleman from New York (Mr. Walsh) and the ranking member, the gentleman from Texas (Mr. Edwards), of the Subcommittee on Military Quality of Life and Veterans Affairs, and Related Agencies of the Committee on Appropriations when they took up this matter at the request of the President.

I also would like to commend the hard work of the gentleman from Florida (Mr. Miller), the chairman of the Subcommittee on Disability Assistance and Memorial Affairs of the Committee on Veterans' Affairs, in the consideration of this bill in a timely fashion and ensuring that the Servicemember Group Life Insurance Enhancement Act of 2005 was quickly passed.

I also want to note that the gentleman has been actively involved in these insurance provisions since we were first made aware of them. Following the submission of the supplemental, he convened a roundtable with the administration officials, and he has taken a lead on the crafting of this bill; and I want to thank him for his efforts.

I also want to commend the gentlewoman from Nevada (Ms. Berkley), the ranking member, for working with the gentleman from Florida (Mr. Miller) on this legislation. Her input was valuable, and we appreciate her efforts on behalf of men and women who wear the uniform and our veterans.

I also again want to commend the gentleman from Arizona (Mr. Renzi)

for his contributions to this legislation. I also reserve the last of my thanks to the gentleman from Illinois (Mr. Evans), the ranking member of full committee, for his good work.

Congress must act promptly to ensure permanent SGLI authorization is enacted before September 30 of 2005, or the coverage levels for servicemember life insurance will revert to $250,000 on October 1 of 2005. I do not believe any Member of this body would want to see that happen. I strongly urge my colleagues to give favorable consideration to H.R. 3200.

Mr. Speaker, I yield back the balance of my time.

Mr. Speaker, on that I demand the yeas and nays.

Mr. Speaker, Public Law 109-13, the Emergency Supplemental, included provisions which made changes to VA's insurance program for active duty servicemembers. However, these changes expire on September 30, 2005.

H.R 3200 would:

Repeal section 1012 of the Supplemental, the section dealing with the insurance changes, and replace it with the text of H.R. 3200. This will reduce the administrative burden on the Department of Veterans Affairs and the Department of Defense who are currently promulgating regulations that are to be in effect for one month before the law expires;

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 or unmarried servicemember's next-of-kin, in writing, if the servicemember declines SGLI or chooses an amount less than the maximum, and also require the military service Secretary concerned to notify a spouse if someone other than the spouse or child is designated as the policyholders' beneficiary.

This language was included in H.R. 2046, which passed the House on May 23: Clarify that spousal notification requirement does not apply to Veterans' Group Life Insurance; and Permit a servicemember to decline Traumatic Injury Protection coverage established by section 1032 of Public Law 109-13.

There were no public hearings regarding the servicemembers' and veterans' insurance changes prior to House and Senate passage of the defense emergency supplemental. However, on March 6, 2005, the Veterans' Affairs Subcommittee on Disability Assistance and Memorial Affairs held a roundtable briefing on these provisions with officials from the Department of Veterans Affairs, the Department of Defense, and private sector insurance representatives. Last month, the Subcommittee held a hearing on these proposals and this bill is a response to issues and concerns I and others had with the insurance provisions contained in the Supplemental.

In addition to the provisions noted above, the Supplemental also provided for a new Traumatic Injury Protection program.

As Chairman Buyer indicated in his opening statement, this program-- which goes into effect on December 1 of this year but is retroactive to October 7, 2001--will provide financial assistance from $25,000 to $100,000 to servicemembers who suffer certain traumatic injuries.

Under current law, participation in the new program is mandatory and those covered must pay premiums. Although the Department of Veterans Affairs estimate the premium to be as Iowa $1 a month, I do not believe Congress should be making financial decisions for the men and women who serve in our armed forces, Coast Guard, National Oceanic and Atmospheric Administration, and the Public Health Service--all of whom are covered under this new program.

Therefore, section 6 of H.R. 3200 would allow a servicemember to decline traumatic injury coverage. I view our role as ensuring that our servicemembers have a variety of options to assist them in planning for the future. If at a later date someone wants to participate, they would be able to elect coverage upon written application, and coverage would apply with respect to injuries occurring after the subsequent election.

Mr. Speaker, I applaud Ms. Berkley, the ranking member of the Subcommittee on Disability Assistance and Memorial Affairs, for her active participation in crafting this bill, as well as the subcommittee vice chairman, Jeb Bradley, and a former member of the Committee, Rick Renzi. This has indeed been a team effort.

I also want to thank the subcommittee staffs on both sides of the aisle, and the Office of Legislative Counsel for their technical assistance.

Finally, I commend Chairman Buyer and Ranking Member Evans for their continuing leadership.

Mr. Speaker, I urge my colleagues to support the Servicemembers' Group Life Insurance Enhancement Act.

Mr. Speaker and colleagues, I rise today to speak about two bills that I have introduced to better the lives of our Nation's disabled veterans. H.R. 1188, the ``Disabled Veterans Right to Commissaries and Space Available Travel Act,'' will extend commissary and exchange store privileges to service-disabled veterans with a rating of 30% or more and to their families. Congress must do all we reasonably can for the men and women who have become disabled in their service to our Nation. Our disabled veterans are important members of the greater military family, and they should be treated as such with every available opportunity.

This bill will also authorize transportation on military aircraft on a space-available basis to service-disabled veterans with a rating of 50% or more. Currently, members and retirees of the uniformed services and the reserves may travel free on Department of Defense (DoD) aircraft when space is available. This benefit is allowed when it does not interfere with military missions, and it recognizes that military careers are filled with rigorous duty.

But present policies do not extend this benefit to our disabled veterans. What more rigorous duty can be imagined than to become disabled in the service of our country? Why has the DoD chosen not to recognize the brave men and women who sacrificed their health and well- being while serving in uniform? This DoD policy needs to be corrected.

Space-available travel for these disabled veterans would cost the Federal government nothing and would not interfere with active-duty personnel. Current military is always given priority, and H.R. 1188 would do nothing to change that. What my bill will do is allow seats that would otherwise go unused to be occupied by men and women who have been disabled when serving their Nation.

I invite my colleagues to also support a second bill, H.R. 2747, the ``Disabled Veterans Life Insurance Enhancement Act.'' This legislation will make improvements in insurance for veterans who are disabled in their service to our country.

When the Service-Disabled Veterans Insurance (SDVI) began in 1951, it was intended to provide service-disabled veterans with the ability to purchase life insurance coverage at ``standard'' rates. Unfortunately, these life insurance premiums are based upon mortality rates for 1940, while current standard life insurance policies have premiums based upon the 2001 mortality table. This means that service-disabled veterans are being charged high premiums based on a table that is 60 years out of date. The Independent Budget, prepared and endorsed by many veterans service organizations, has recommended that the mortality table be updated so that service-disabled veterans pay lower premiums for insurance. My bill would provide insurance comparable to standard policies, based on 2001 tables. Another change will increase the amount of insurance available to $50,000, purchased in increments of $10,000.

Second, the VA provides mortgage life insurance (VMLI) to severely service-disabled veterans who qualify for specially adapted housing grants. Currently, this amount covers only about 55% of the outstanding mortgage balances at the veteran's death because the maximum amount has not been increased since 1992. We know how the cost of houses has skyrocketed since then in many areas of our country. In May, 2001, an evaluation by the Department of Veterans Affairs recommended that the coverage be increased, and The Independent Budget has also recommended that the coverage be increased. H.R. 2747 implements those recommendations by increasing the maximum to $200,000 to cover 94% of mortgage balances outstanding. Veterans can choose lower coverage, if they wish.

These bills are the right steps to take for our disabled veterans. They have sacrificed their health and well-being for their country, and they have earned the right to these privileges. Please support these bills and work with me for their passage.

Madam Speaker, I rise in support of H.R. 3200.

Earlier this year, Congress increased the amount of SGLI available to servicemembers up to $400,000. That provision is scheduled to expire as of September 30, 2005.

We need to make this increase permanent. The costs for this increase would be borne by the men and women who are covered under the SGLI program. SGLI is an insurance program paid by the men and women who are insured. Only in times of war when there is a marked increase in servicemember deaths does the government contribute payments for extra hazards.

H.R. 3200 will receive my full support, and it deserves the support of all Members of this House.

Madam Speaker, I rise in strong support of H.R. 3200, the Servicemembers' Group Life Insurance Enhancement Act of 2005.

Earlier this year, in Public Law 109-13, Congress increased the amount of Servicemembers' Group Life Insurance, SGLI, available to servicemembers. That provision is scheduled to expire as of September 30, 2005. This bill would make the $400,000 of coverage provided on a temporary basis in Public Law 109-13, permanent.

The costs for this increased amount of insurance would be borne by the men and women who are covered under the SGLI program. We must never forget that SGLI is an insurance program, paid for by the men and women who are insured.

Only in times of war when there is a marked increase in servicemember deaths, is the government charged for the ``extra hazards'' of this insurance. No government payments were made between the end of the Vietnam era and 2003. During the last 3 years, the military services have contributed to the cost of payments for ``excess deaths'', the number of deaths which exceed the expected death rate by more than 8 percent, resulting primarily from military operations in Afghanistan and Iraq.

H.R. 3200 also establishes criteria for notification to the spouse or next of kin when a servicemember elects less than the maximum amount of SGLI and notification to a spouse when a servicemember names a beneficiary who is neither the spouse nor child.

Generally, I would expect that a servicemember would discuss his or her financial decisions with persons who may be beneficiaries of a life insurance policy. The notice provisions may be helpful in those situations where a servicemember inadvertently fails to inform their next of kin or spouse of these decisions.

I am strongly opposed to the provision included in Public Law 109-13 which would require a married servicemember to obtain the consent of their spouse, even in situations where the spouses are estranged, if less than the maximum amount of coverage is selected. I am pleased that that provision would be repealed by this bill.

I also believe that no notice should be provided when a servicemember names a child or children rather than their current spouse as the beneficiary of a SGLI policy. Servicemembers are in the best position to determine whether a spouse or child, or some combination of spouse and child should receive the proceeds of their SGLI in the event of the servicemember's death.

Finally, the bill would allow a servicemember to decline coverage under the traumatic injury protection of Public Law 109-13. This insurance, like SGLI, is paid for by the servicemembers with extra hazards coverage for excess traumatic injuries in wartime paid by the military services.

I urge all members to support this bill, so that enhanced coverage currently provided under SGLI will not lapse on September 30, 2005.

H.R. 3200 will receive my full support and it deserves the support of all Members of this House.

Madam Speaker, I want to thank the Chairman very much for the opportunity to speak on this legislation, for his leadership, and for the time that he has spent in mentoring me, particularly on this piece of legislation.

The bill that we are considering today, the Servicemembers' Group Life Enhancement Act of 2005, makes permanent and improves a significant change which passed a few months ago. In May, as part of the Emergency Wartime Supplemental Act, Congress passed the provision that allows the armed services and members of the armed services to purchase insurance coverage to protect against traumatic disabling injuries. This new traumatic injury protection program will be up and running in December, and will protect our servicemen and women against the economic consequences of severe disabilities while suffered on Active Duty. It will greatly assist our Armed Forces and their families during a servicemember's hospitalization time and their rehabilitation period, as well as their transition back to full employment.

At a time injured servicemembers and their family need to concentrate on physical recovery and emotional well-being, they are too often burdened with mounting financial debt, and this program goes a long way to help them.

Hospitalization following a traumatic injury often requires the servicemember's family members to leave work for an extended period of time to be with their loved ones, thus potentially losing a source of income. They incur tremendous costs, such as travel and living expenses, at a very stressful time. Travel, housing, food and child care costs can often amount to tens of thousands of dollars, and this insurance program will provide up to $100,000 to these servicemembers to help pay for these indirect costs.

We ask our young people to volunteer their service, and they serve with distinction. This program will be especially important to members of our National Guard and Reserve in which we have a moral obligation to provide the necessary means for our servicemember to transition back to civilian life.

Medical technology has made great gains in the past years. Many of our soldiers who would have been killed in battle now come home with severe disabilities. We need to continue to assist these wounded warriors as they adjust to life with their new disabilities. Therefore, it is vital that we recognize the difficult sacrifices made by our military and their families, and we do all that we can to assist them when they need it most. Our Nation must never forget our wounded warriors, and this legislation goes a long way to help them and to recognize that we care.

I thank the committee. I thank the gentleman from Indiana (Chairman Buyer) and the gentlewoman from Nevada (Ms. Berkley) for their approval, and I especially thank the gentleman from Florida (Mr. Miller), the chairman of the subcommittee, for his help.

Madam Speaker, I urge my colleagues to pass this important legislation.