IN THE CASE OF:	  

		BOARD DATE:	  13 May 2010

		DOCKET NUMBER:  AR20090017903 


THE BOARD CONSIDERED THE FOLLOWING EVIDENCE:

1.  Application for correction of military records (with supporting documents provided, if any).

2.  Military Personnel Records and advisory opinions (if any).


THE APPLICANT'S REQUEST, STATEMENT, AND EVIDENCE:

1.  The applicant requests correction of her records to show that within one year of her marriage she elected to participate in the Survivor Benefit Plan (SBP) with spouse only coverage at the full base rate.

2.  The applicant states that she sent a letter and her marriage certificate well within the required 1-year time frame requesting a change in her RCSBP election.  She did not learn that a DD Form 2656-6 (Survivor Benefit Plan election change Certificate) was required until she called the Defense Finance and Accounting Service (DFAS) a year later to ask why the premiums were not being deducted from her retired pay.  At that time she completed the DD Form 2656-6 and sent it to DFAS.  Supposedly, DFAS sent her notices in July 2008 and July 2009 informing her about the requirement to submit the form, but she never received them.  Her April 2008 letter shows it was her clear intention to change her SBP election to spouse only.

3.  The applicant provides, in support of her application, copies of her original letter dated 28 April 2008; her marriage certificate, dated 22 April 2008; and her DD Form 2656-6, dated 10 June 2009.

CONSIDERATION OF EVIDENCE:

1.  The applicant was born on 1 July 1947.

2.  The applicant's Notification of Eligibility for Retired Pay at Age 60 (20-Year Letter), dated 20 August 1996, informed her that she had completed the required years of service for retired pay.  The letter indicates that a Survivor Benefit Plan Summary was attached.

3.  On 4 October 1996, the applicant submitted DD Form 1883 (Survivor Benefit Plan Election Certificate) wherein she stated that she was not married and had no dependent children.  She further requested insurable interest coverage for her sister. 

4.  On 16 August 2005, the applicant submitted DD Form 2656 (Data for Payment of Retired Personnel) requesting to terminate the insurable interest coverage for her sister.

5.  On 1 July 2007, the applicant attained 60 years of age and became eligible to receive retired pay.

6.  On 22 April 2008, the applicant was married.  Six days later the applicant sent a letter and a copy of her marriage certificate to DFAS requesting that her new spouse be covered under SBP.

7.  DFAS records show that:

   a.  the applicant's letter and marriage certificate were received on 29 April 2008,
   
   b.  DFAS sent her a DD Form 2656 on 19 June 2008,
   
   c.  on 24 June 2009, DFAS received the applicant's DD Form 2656 but did not process it because it was received more than a year after her marriage, and
   
   d.  that the applicant's request to terminate the insurable interest coverage for her sister had not been processed.

8.  Public Law 95-397, the RCSBP, enacted 30 September 1978, provided a way for those who had qualified for reserve retirement but were not yet age 60 to provide an annuity for their survivors should they die before reaching age 60.  Three options are available:  (A) elect to decline enrollment and choose at age 60 whether to start SBP participation; (B) elect that a beneficiary receive an annuity if they die before age 60 but delay payment of it until the date of the member’s 60th birthday; (C) elect that a beneficiary receive an annuity immediately upon their death if before age 60.  If the member dies before reaching age 60, premiums are deducted from the annuity.

9.  Title 10, U. S. Code, section 1448(a)(5) provides that a person who is not married and has no dependent child upon becoming eligible to participate in the SBP, but who later marries or acquires a dependent child, may elect to participate in the SBP.  Such an election must be written, signed by the person making the election, and received by the Secretary concerned within one year after the date on which that person marries or acquires that dependent child.

DISCUSSION AND CONCLUSIONS:

1.  The applicant contends that her SBP should be changed to add spouse only with full coverage.

2.  When the applicant completed her DD Form 1883 in October 1996, she indicated that she was single with no dependent children and wanted insurable interest coverage for her sister.  In August 2005, prior to becoming eligible to receive retired pay, she requested to cancel her insurable interest election.  DFAS records do not show that this request was processed.

3.  The applicant attained 60 years of age in 2007 and applied for retired pay.

4.  In April 2008, 6 days after getting married, the applicant requested to change her SBP election to spouse only with full coverage.  However, her request was not accepted at DFAS because it was not submitted on a DD Form 2656.  She contends that she did not receive a reply from DFAS and did not know she had to complete this form until a year later when she called DFAS.

5.  The evidence in this case clearly shows the applicant tried to do the right thing.  It is apparent that she did not know or understand the requirements for making changes to her SBP election.

6.  In view of the above, and in the interests of justice, the applicant's records should be corrected to show that she cancelled her insurable interest option in conjunction with her request to receive retired pay and that she requested to add her husband to her SBP election with spouse only full coverage within a year of her marriage.



BOARD VOTE:

____X___  ____X___  ____X___  GRANT FULL RELIEF 

________  ________  ________  GRANT PARTIAL RELIEF 

________  ________  ________  GRANT FORMAL HEARING

________  ________  ________  DENY APPLICATION

BOARD DETERMINATION/RECOMMENDATION:

The Board determined that the evidence presented was sufficient to warrant a recommendation for relief.  As a result, the Board recommends that all Department of the Army records of the individual concerned be corrected by:

   a.  showing the applicant's election for insurable interest for her sister was terminated in conjunction with her August 2005 request and subsequent request for retired pay,
   
   b.  showing that her SBP election to add her spouse to SBP with full coverage was received by DFAS within 1-year of her marriage and was processed accordingly, and
   
   c.  auditing her retired pay records and refunding or collecting any and all monies that may be due as a result of these corrections.



      ____________X_____________
       	     CHAIRPERSON
      
I certify that herein is recorded the true and complete record of the proceedings of the Army Board for Correction of Military Records in this case.

ABCMR Record of Proceedings (cont)                                         AR20090017903



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ABCMR Record of Proceedings (cont)                                         AR20090017903



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