Title 10 — Armed ForcesRelease 119-73

§12526 Premiums

Title 10 › Subtitle Subtitle E— - Reserve Components › Part PART II— - PERSONNEL GENERALLY › Chapter CHAPTER 1214— - READY RESERVE MOBILIZATION INCOME INSURANCE › § 12526

Last updated Apr 6, 2026|Official source

Summary

The Secretary must set the insurance premium rates, working with the Board of Actuaries. A fixed premium is set for each $1,000 of monthly benefit. That premium equals the share of cost to insure a member and is the same for all Ready Reserve members with the same benefit amount. The rate is based on the best estimates of risk, likely costs, how many members join, and other relevant factors. The premium a member pays in their first year stays the same in later years unless the Secretary, after consulting the Board of Actuaries, changes it to pay for inflation-adjusted benefit increases using actuarial calculations.

Full Legal Text

Title 10, §12526

Armed Forces — Source: USLM XML via OLRC

(a)(1)The Secretary, in consultation with the Board of Actuaries, shall prescribe the premium rates for insurance under the insurance program.

(2)The Secretary shall prescribe a fixed premium rate for each $1,000 of monthly insurance benefit. The premium amount shall be equal to the share of the cost attributable to insuring the member and shall be the same for all members of the Ready Reserve who are insured under the insurance program for the same benefit amount. The Secretary shall prescribe the rate on the basis of the best available estimate of risk and financial exposure, levels of subscription by members, and other relevant factors.

(b)The premium rate prescribed for the first year of insurance coverage of an insured member shall be continued without change for subsequent years of insurance coverage, except that the Secretary, after consultation with the Board of Actuaries, may adjust the premium rate in order to fund inflation-adjusted benefit increases on an actuarially sound basis.

Reference

Citations & Metadata

Citation

10 U.S.C. § 12526

Title 10 — Armed Forces

Last Updated

Apr 6, 2026

Release point: 119-73