[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: 38CFR9.3]

[Page 521-522]
 
            TITLE 38--PENSIONS, BONUSES, AND VETERANS' RELIEF
 
                CHAPTER I--DEPARTMENT OF VETERANS AFFAIRS
 
PART 9_SERVICEMEMBERS' GROUP LIFE INSURANCE AND VETERANS' GROUP
 
Sec.  9.3  Waiver or reduction of coverage.

    (a) Full-time coverage which is in effect will terminate or be 
reduced at midnight of the last day of the month a member's written 
notice requesting such termination or reduction is received by his or 
her uniformed service.

[[Page 522]]

In the case of a member paying premiums directly to the administrative 
office, full-time coverage will terminate or be reduced as of the last 
day of the month for which the last full premium was paid. Termination 
or reduction of coverage is effective for the entire remaining period of 
active duty unless the member reinstates his or her coverage under the 
provisions of 38 U.S.C. 1967(c). If, following termination of duty, a 
member reenters duty (in the same or another uniformed service), a 
waiver or reduction for the previous period of duty will not apply to 
the subsequent period of duty.
    (b) Part-time coverage will terminate or be reduced at the end of 
the last day of the period of duty then being performed if the member is 
on active duty or active duty for training when the waiver or reduction 
is filed; at the end of the period of inactive duty training then being 
performed if the member is on inactive duty training when the waiver or 
reduction is filed; or on the date the waiver or reduction is received 
by his or her uniformed service if the member is not on active duty, 
active duty for training; or inactive duty training on the date the 
waiver or reduction is filed.
    (1) When a member insured under part-time coverage waives his or her 
right to group coverage or elects a reduced amount of insurance, such 
waiver or election, unless changed, is effective throughout the period 
of the member's continuous reserve obligation in the same uniformed 
service. If, following termination of duty, the member reenters duty or 
resumes the obligation to perform duty (in the same or another uniformed 
service), the waiver or reduction will not apply to the subsequent 
period of duty or obligation.
    (2) If a reservist insured under part-time coverage is called or 
ordered to active duty or active duty for training under a call or order 
that does not specify a period of less than 31 days and is separated or 
released from such duty and then resumes his or her reserve obligation, 
any waiver or election of reduced coverage made while eligible for part-
time coverage, unless changed, shall be effective throughout the entire 
period of part-time coverage, the active duty or active duty for 
training period and 120 days thereafter and the period of immediately 
resumed reserve obligation.
    (3) If a member, other than a member referred to in paragraph (b)(2) 
of this section, upon termination of duty qualifying him or her for 
full-time coverage assumes an obligation to perform duty as a reservist, 
any waiver or election previously made by the member shall not apply to 
coverage arising from his or her reservist obligation. Furthermore, 
during the 120 days following termination of such duty the full-time 
coverage shall not be reduced by any waiver or election made by a member 
as a reservist.

[40 FR 4135, Jan. 28, 1975, as amended at 48 FR 8070, Feb. 25, 1983; 53 
FR 17698, May 18, 1988. Redesignated and amended at 61 FR 20135, May 6, 
1996]