RECORD OF PROCEEDINGS AIR FORCE BOARD FOR CORRECTION OF MILITARY RECORDS IN THE MATTER OF: DOCKET NUMBER: BC-2014-01225 COUNSEL: NONE HEARING DESIRED: NO APPLICANT REQUESTS THAT: Her late ex-husband’s records be corrected to reflect he changed his Survivor Benefit Plan (SBP) from former spouse coverage under the insurable interest option to former spouse coverage authorized by Public Law (PL) 99-145. APPLICANT CONTENDS THAT: When she and the deceased former member divorced he was mandated by the court to provide SBP coverage for her as a former spouse. The former member had the opportunity to change his election from insurable interest to former spouse coverage but did not do so; however, in Feb 87 the Defense Finance and Accounting Service (DFAS) pay center sent her attorney a letter verifying her former spouse did in fact have former spouse SBP deducted from his Air Force retirement pay. If this were true, she should be drawing the former spouse annuity and not the insurable interest annuity. This correction would allow her to draw the full 55 percent versus the 45 percent that she currently receives. The applicant’s complete submission, with attachments, is at Exhibit A. STATEMENT OF FACTS: According to the documentation submitted by the applicant, her ex- husband passed away on 29 Dec 13, and, to date she has not remarried. However, the deceased former member was married to someone other than the applicant at the time of his death. The remaining relevant facts pertaining to this application are described in the memoranda prepared by the Air Force office of primary responsibility (OPR), which is included at Exhibit C. AIR FORCE EVALUATION: AFPC/DPFFF recommends approval, indicating that while there is no evidence of an error on the part of the Air Force, the applicant is the victim of an injustice. PL 97-252 (8 Sep 82) permitted retiring members to provide SBP coverage for their former spouses under the insurable interest option. However, the cost was more expensive than the costs for spouse coverage (at least 10 percent for each full five-year period the beneficiary is younger than the member, up to a maximum of 40 percent of retired pay). In addition, the SBP payment to former spouses under the insurable interest option is 55 percent of the gross retired pay remaining after the monthly premium is deducted. Marriage at any age does not affect a former spouse’s eligibility to receive SBP payments under the insurable interest type of coverage. Subsequently, PL 98-525 (19 Oct 84) authorized former spouses to request an SBP election be deemed on their behalf if the member agreed and the court order incorporated that agreement. PL 99-145 (8 Nov 85, but effective 1 Mar 86) permitted members, who had previously elected insurable interest coverage for their former spouses, a one-year opportunity (8 Nov 85 – 7 Nov 86) to change to former spouse coverage with the same costs and provisions of spouse coverage. The statute required the former spouse’s written concurrence in the change. Marriage before age 55 suspends a former spouse’s eligibility to receive SBP payments if the election is made under the provisions of PL 99-145. The applicant and deceased former member were married on 15 Feb 58, and the record reflects the member elected spouse only SBP coverage based on a reduced level of retired pay prior to his 1 Feb 74 retirement. The parties divorced on 5 May 83 and the divorce decree was silent on SBP. Nevertheless, the 18 Jul 86, microfiche records show former spouse coverage was established under the insurable interest option. The deceased former member remarried on 2 Jun 83; however, the widow is not eligible for the SBP because the applicant is the valid former spouse beneficiary. Former spouse insurable interest SBP premiums were deducted from the member’s retired pay until 1 Oct 08, when the paid-up SBP provision became effective. The former member died on 29 Dec 13. The applicant is currently receiving an SBP monthly annuity of $906, based on the insurable interest option. It is recommended that the deceased former member’s record be corrected to reflect that on 1 Mar 86, he elected to change SBP former spouse coverage under the insurable interest option to former spouse coverage under the spouse coverage option, naming the applicant as the eligible former spouse beneficiary, and she concurred in the change. This date is the earliest date former spouse coverage with the same options as spouse coverage could have been established. A complete copy of the AFPC/DPFFF evaluation is at Exhibit C. APPLICANT'S REVIEW OF AIR FORCE EVALUATION: A copy of the Air Force evaluation was forwarded to the applicant on 4 Aug 14 for review and comment within 30 days (Exhibit D). As of this date, no response has been received by this office. THE BOARD CONCLUDES THAT: 1. The applicant has exhausted all remedies provided by existing law or regulations. 2. The application was not timely filed; however, it is in the interest of justice to excuse the failure to timely file. 3. Sufficient relevant evidence has been presented to demonstrate the existence of an error or injustice. We took notice of the applicant's complete submission in judging the merits of the case and agree with the opinion and recommendation of the Air Force office of primary responsibility (OPR) and adopt its rationale as the basis for our conclusion that it is in the interest of justice to grant the relief sought. Therefore, we recommend the deceased former member's records be corrected as indicated below. THE BOARD RECOMMENDS THAT: The pertinent military records of the Department of the Air Force relating to the DECEASED FORMER MEMBER be corrected to show that on 1 March 1986, he elected to change SBP former spouse under the insurable interest option to former spouse coverage under the spouse coverage option, naming the applicant as the eligible former spouse beneficiary, and she concurred in the change. The following members of the Board considered AFBCMR Docket Number BC-2014-01225 in Executive Session on 6 May 15, under the provisions of AFI 36-2603: All members voted to correct the records as recommended. The following documentary evidence pertaining to AFBCMR Docket Number BC-2014-01225 was considered: Exhibit A. DD Form 149, dated 6 Mar 14, w/atchs. Exhibit B. Applicant's Master Personnel Records. Exhibit C. Memorandum, AFPC/DPFFF, dated 25 Jun 14. Exhibit D. Letter, SAF/MRBR, dated 4 Aug 14.