BOARD DATE:	  30 August 2012

		DOCKET NUMBER:  AR20120000944 


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 that his military service records be corrected to terminate his participation in the Survivor Benefit Plan (SBP) and that monies from his SBP are paid back into his Servicemember's Group Life Insurance (SGLI).

2.  The applicant states he was under the impression that he was making monthly payments towards his SGLI.  The applicant further states he does not recall opting out of SGLI.  The applicant states that he would like to terminate his participation in the SBP and the monies transferred to his SGLI.

3.  The applicant does not provide additional documentation in support of this application.

CONSIDERATION OF EVIDENCE:

1.  Title 10, U.S. Code, section 1552(b), provides that applications for correction of military records must be filed within 3 years after discovery of the alleged error or injustice.  This provision of law also allows the Army Board for Correction of Military Records (ABCMR) to excuse an applicant’s failure to timely file within the 3-year statute of limitations if the ABCMR determines it would be in the interest of justice to do so.  While it appears the applicant did not file within the time frame provided in the statute of limitations, the ABCMR has elected to conduct a 



substantive review of this case and, only to the extent relief, if any, is granted, has determined it is in the interest of justice to excuse the applicant’s failure to timely file.  In all other respects, there are insufficient bases to waive the statute of limitations for timely filing.

2.  The applicant enlisted in the Regular Army on 28 February 2002.  He successfully completed training and was awarded military occupational specialty 11B (Infantryman).

3.  The applicant's DD Form 2656 (Data for Payment of Retired Personnel), dated 16 May 2007, shows he is married.  Section IX (Survivor Benefit Plan Election) shows he elected coverage for his spouse and children.  Item 32 stated, “Also, I have been counseled that I can terminate SBP participation, with my spouse’s written concurrence, within one year after the second anniversary of commencement of retired pay.  However, if I exercise my option to terminate the SBP, future participation is barred.”  This form was witnessed by a Retirement Services Officer.

4.  On 10 June 2007, the applicant retired and was placed on the temporary disability retired list (TDRL) on 11 June 2007.

5.  Public Law 92-425, the SBP, enacted 21 September 1972, provided that military members could elect to have their retired pay reduced to provide for an annuity after death to surviving dependents.  An election must be made before the effective date of retirement, or coverage automatically defaults to spouse coverage (if applicable).

6.  Public Law 105-85, enacted 18 November 1997, established the option to terminate SBP participation.  Retirees have a 1-year period beginning on the second anniversary of the date on which their retired pay started to withdraw from SBP.  The spouse's concurrence is required.  No premiums will be refunded to those who opt to disenroll.  The effective date of termination is the first day of the first calendar month following the month in which the election is received by the Secretary concerned.

7.  Department of Veterans Affairs (VA) Form 21-0760 (VA Benefits in Brief), states SGLI is low-cost life insurance for service members (active duty and reservist).  It is available in $50,000 increments up to a maximum of $400,000.  SGLI coverage begins when a member enters service and expires 120 days after getting out of the service.  Totally disabled members can apply for up to two years of free SGLI coverage following discharge.  



DISCUSSION AND CONCLUSIONS:

1.  The applicant’s request for termination of his participation in SBP and transfer of funds to SGLI was carefully considered and it was determined there is insufficient evidence to support his request.  

2.  Evidence of record shows the applicant elected to participate in spousal and children SBP coverage on 16 May 2007.  He retired on 10 June 2007.

3.  By law, members are provided the opportunity to terminate SBP participation during the one-year period between the second and third anniversary of the commencement of retired pay.  The DD Form 2656 informed him of this provision for terminating the SBP.

4.  The evidence of record confirms the applicant elected full "Spouse and Children" SBP coverage in conjunction with his retirement.  He made his election before a Retirement Services Officer specifically trained to answer any questions raised.  There is no indication that he attempted to terminate his SBP participation in the one-year period between his second and third anniversary  (10 June 2009 and 10 June 2010) of receipt of retired pay, which is the only opportunity that is provided by the governing law.  

5.  The fact that the applicant and his spouse have now decided that there are better options than SBP does not provide a basis for granting the requested relief, and there is no evidence to show the applicant was led to believe he was paying for SGLI coverage.  There is no evidence of government error nor is there injustice.

6.  Additionally, there is no law or regulation which provides for transfer of monies between the SBP and SGLI.  Both of the programs are independently managed.  As a result, there is no basis to grant the relief requested.  However, if the applicant wishes to obtain more information on the SGLI he may contact any VA office or call 1-800-419-1473 or visit www.va.gov.

BOARD VOTE:

________  ________  ________  GRANT FULL RELIEF 

________  ________  ________  GRANT PARTIAL RELIEF 

________  ________  ________  GRANT FORMAL HEARING

___x_____  __x______  ___x__  DENY APPLICATION
BOARD DETERMINATION/RECOMMENDATION:

The evidence presented does not demonstrate the existence of a probable error or injustice.  Therefore, the Board determined that the overall merits of this case are insufficient as a basis for correction of the records of the individual concerned.



      _______ _  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)                                         AR20120000944





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ABCMR Record of Proceedings (cont)                                         AR20120000944



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