[Code of Federal Regulations]
[Title 38, Volume 1]
[Revised as of January 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 38CFR8.5]

[Page 503]
 
            TITLE 38--PENSIONS, BONUSES, AND VETERANS' RELIEF
 
                CHAPTER I--DEPARTMENT OF VETERANS AFFAIRS
 
PART 8_NATIONAL SERVICE LIFE INSURANCE--Table of Contents
 
Sec.  8.5  Authorization for deduction of premiums from compensation, 

retirement pay, or pension.

    Deductions from benefits for the payment of premiums shall be 
effective on the month the authorization for such deduction is received 
by the Department of Veterans Affairs or on any successive month 
specified by the insured. Such deduction shall be applied to the premium 
due in the succeeding calendar month and shall continue monthly so long 
as the benefit payments are due and payable to the insured and the 
amount is sufficient to pay the premium or until such authorization is 
revoked by the veteran or otherwise terminated. When premium deductions 
are authorized by the insured, the premium will be treated as paid for 
purposes of preventing lapse of the insurance, so long as there is due 
and payable to the insured a benefit amount sufficient to provide the 
premium payment. If authorization was executed by the Director of a VA 
hospital or domiciliary or chief officer of a State hospital or other 
institution to make deductions from an institutional award, the 
authorization will cease and terminate at the termination of the 
institutional award and the insurance shall lapse unless another 
authorization for deduction from monthly benefit payments is executed by 
the insured. The insured will be notified by letter directed to the last 
address of record of the termination of the authorization to deduct 
premiums, but failure to give such notice shall not prevent lapse.

[61 FR 29291, June 10, 1996. Redesignated at 65 FR 7437, Feb. 15, 2000]

                       Calculation of Time Period