BOARD DATE: 13 May 2010
DOCKET NUMBER: AR20090019846
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 his military records to show he made no Reserve Component Survivor Benefit Plan (RCSBP) election of insurable interest coverage.
2. The applicant states that he never meant to provide his niece with insurable interest coverage. He was never briefed regarding the coverage's consequences. He completed the relevant paperwork in ignorance.
3. The applicant provided no additional documentation in support of his application.
CONSIDERATION OF EVIDENCE:
1. The applicant was born on 14 June 1947 and he attained 60 years of age in 2007.
2. On 18 January 2000, the applicant submitted a DD Form 1883 (Survivor Benefit Plan Election Certificate) wherein he indicated that he was not married and did not have any dependent children. He elected his niece as an insurable interest person. The form he completed contains information regarding the costs of such coverage.
3. Effective 30 June 2009, the applicant was transferred to the Retired Reserve.
4. This request was received on 2 November 2009.
5. 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:
* elect to decline enrollment and choose at age 60 whether to start SBP participation
* elect that a beneficiary receive an annuity if they die before age 60 but delay payment of it until the date of the members 60th birthday
* elect that a beneficiary receives an annuity immediately upon their death if before age 60. If the member dies before reaching age 60, premiums are deducted from the annuity.
6. Title 10, U. S. Code, section 1448(b) provides that a person who is not married and does not have a dependent child when he becomes eligible to participate in the RCSBP may elect to provide an annuity to a natural person with an insurable interest in that person. Such an election may be terminated by a participant by submitting a request to the Secretary concerned. Participation in the RCSBP shall be discontinued effective on the first day of the month following the month in which the request is received by the Secretary concerned.
DISCUSSION AND CONCLUSIONS:
1. The applicant contends that he was not briefed about the consequences of his RCSBP election of insurable interest coverage and completed the relevant paperwork in ignorance. He wants his records to show he made no election of coverage.
2. There is no evidence of Government error or injustice in this case. However, Title 10, U. S. Code clearly provides that the applicant has the right to terminate his RCSBP election of an insurable interest, and that such request is to be effective on the first day of the month following receipt of such request by the Secretary concerned.
3. The applicant's request to correct his election of insurable interest is denied. However, it is appropriate to treat his application for correction as a request to terminate insurable interest coverage as of the date of receipt by the Board. His application was received on 2 November 2009. Therefore, his request to terminate his election of insurable interest should be granted effective
1 December 2009.
BOARD VOTE:
________ ________ ________ GRANT FULL RELIEF
___x_____ _____x___ ___x__ GRANT PARTIAL RELIEF
________ ________ ________ GRANT FORMAL HEARING
________ ________ ________ DENY APPLICATION
BOARD DETERMINATION/RECOMMENDATION:
1. The Board determined that the evidence presented was sufficient to warrant a recommendation for partial relief. As a result, the Board recommends that all Department of the Army records of the individual concerned be corrected by:
a. terminating his RCSBP election for an insurable interest effective
1 December 2009; and
b. auditing his retired pay records and refunding him any monies due as a result of this correction.
2. The Board further determined that the evidence presented is insufficient to warrant a portion of the requested relief. As a result, the Board recommends denial of so much of the application that pertains to correcting his military records to show he made no RCSBP election of insurable interest coverage.
__________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) AR20090019846
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