BOARD DATE: 12 March 2015
DOCKET NUMBER: AR20140010249
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 disenrollment from the Survivor Benefit Plan (SBP).
2. The applicant states that he was told that he could cancel enrollment in the SBP before he got it and has now found that it is not true. He goes on to state that he cannot afford the premiums and it is putting him in debt.
3. The applicant provides no additional documents with his application.
CONSIDERATION OF EVIDENCE:
1. The applicant enlisted in the Regular Army on 22 July 2008 for a period of 3 years and 19 weeks and training as a unit supply specialist. He completed his basic training at Fort Jackson, South Carolina and his advanced individual training at Fort Lee, Virginia before being transferred to Fort Lewis, Washington for his first and only assignment.
2. He continued to serve until he was retired in the pay grade of E-5 on 15 February 2013 due to disability, permanent (enhanced). He had served 4 years, 6 months and 24 days of active service and elected spouse and child full coverage under the SBP. He was granted a 40% disability rating.
3. On 16 April 2014, the applicant submitted a DD Form 2656-2 (SBP Termination Request) to the Defense Finance and Accounting Service.
4. SBP is a life insurance program that pays an annuity to eligible beneficiaries upon the death of covered former service members. As a Federal Government insurance program, mainly subsidized by participant premiums, it is strictly governed by Federal statutes that set forth rules for its operation, including eligibility for enrollment, designation of beneficiaries, and authorized changes to beneficiaries. Retirees do not earn SBP through their service they earn the right to participate in SBP.
5. Public Law 92-425, enacted 21 September 1972, established the SBP. The SBP provides that military members on active duty could elect to have their retired pay reduced to provide for an annuity after death to eligible surviving family members. An election, once made, is irrevocable except in certain circumstances. Public Law 99-145, enacted 8 November 1985, but effective
1 March 1986, required a spouses written concurrence for a retiring member's election that provides less than the maximum spouse coverage.
6. Title 10, U.S. Code, section 1448 provides, in pertinent part, that effective
1 March 1986, a married member is enrolled in SBP with spouse coverage based on full retired pay at the time of retirement unless that spouse has concurred in writing to another election requested by the member pursuant to Department of Defense Financial Management Regulation, Volume 7B, Chapter 43. When the spouse's concurrence is required, the signature indicating concurrence must be corroborated by one or more witnesses. This chapter also states, in pertinent part, that the Secretary of the Military Department concerned (or designee) may correct any election or any change or revocation of an election when the Secretary considers it necessary to correct an administrative error.
7. 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.
DISCUSSION AND CONCLUSIONS:
1. The applicants contention that he should be disenrolled from the SBP because he does not remember making an election to enroll has been noted and appears to lack merit.
2. Official records contain a copy of his election at the time and the form is properly executed. There is no evidence of record and he did not provide any evidence that shows he was misinformed of his options under the SBP. While there is evidence to show he attempted to terminate his SBP shortly after the first anniversary of his retired pay, he was not eligible and will not be eligible until the second anniversary of when his retired pay began.
3. Accordingly, there is no error or injustice in his case and no basis to grant his request.
4. However, he is not precluded from exercising his option to disenroll from the SBP, with his wifes concurrence, during the 1-year period following the second anniversary of receipt of his retired pay, without repayment of premiums.
BOARD VOTE:
________ ________ ________ GRANT FULL RELIEF
________ ________ ________ GRANT PARTIAL RELIEF
________ ________ ________ GRANT FORMAL HEARING
___x_____ _x_______ _x____ DENY APPLICATION
BOARD DETERMINATION/RECOMMENDATION:
1. 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.
2. The Board wants the applicant and all others concerned to know that this action in no way diminishes the sacrifices made by the applicant in service to the United States. The applicant and all Americans should be justifiably proud of his service in arms.
__________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) AR20140010249
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ABCMR Record of Proceedings (cont) AR20140010249
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