Increase Servicemembers' Group Life Insurance bill

Section 1967 of title 38, United States Code, as in effect on October 1, 2005, is amended—

(1) in subsection (a)—

(A) in paragraph (2), by adding at the end the following:

(C) With respect to a policy of insurance covering an insured member, the Secretary of Defense shall make a good-faith effort to notify the spouse of a member if the member elects, at any time, to—

(i) reduce amounts of insurance coverage of an insured member; or

(ii) name a beneficiary other than the insured member’s spouse.

(D) The failure of the Secretary of Defense to provide timely notification under subparagraph (C) shall not affect the validity of an election by the member.

(E) If a servicemember marries or remarries after making an election under subparagraph (C), the Secretary of Defense is not required to notify the spouse of such election. Elections made after marriage or remarriage are subject to the notice requirement under subparagraph (C).; and

(B) in paragraph (3)—

(i) in subparagraph (A), by striking clause (i) and inserting the following:

(i) In the case of a member, $400,000.; and

(ii) in subparagraph (B), by striking member or spouse and inserting member, be evenly divisible by $50,000 and, in the case of a member's spouse; and

(2) in subsection (d), by striking $250,000 and inserting $400,000.

Section 1968(a) of title 38, United States Code, is amended—

(1) in paragraph (1)(A), by striking one year and inserting 2 years; and

(2) in paragraph (4), by striking one year and inserting 2 years.

Section 1977(a) of title 38, United States Code, as in effect on October 1, 2005, is amended by striking $250,000 each place it appears and inserting $400,000.