§3971 — Title 50 War and National Defense | U.S. Code

Summary

Defines key words used in this part of the law. Policy — an individual life insurance contract (whole, endowment, universal, or term), not group term life. It also covers similar benefits from fraternal or beneficial groups if the insurer cannot cut coverage or charge extra because the person enters military service, except that individual term policies may raise premiums for age. The policy must have been in force at least 180 days before the person entered military service and still be active when they apply. Premium — the amount paid to keep a policy active. Insured — a servicemember whose life the policy covers. Insurer — any company or business (firm, corporation, partnership, or association) allowed by state or federal law to sell insurance.

Title 50, §3971

War and National Defense — Source: USLM XML via OLRC

For the purposes of this subchapter:

(1)The term “policy” means any individual contract for whole, endowment, universal, or term life insurance (other than group term life insurance coverage), including any benefit in the nature of such insurance arising out of membership in any fraternal or beneficial association which—

(A)provides that the insurer may not—

(i)decrease the amount of coverage or require the payment of an additional amount as premiums if the insured engages in military service (except increases in premiums in individual term insurance based upon age); or

(ii)limit or restrict coverage for any activity required by military service; and

(B)is in force not less than 180 days before the date of the insured’s entry into military service and at the time of application under this subchapter.

(2)The term “premium” means the amount specified in an insurance policy to be paid to keep the policy in force.

(3)The term “insured” means a servicemember whose life is insured under a policy.

(4)The term “insurer” includes any firm, corporation, partnership, association, or business that is chartered or authorized to provide insurance and issue contracts or policies by the laws of a State or the United States.

Notes & Related Subsidiaries

Editorial Notes

Codification Section was formerly classified to section 541 of the former Appendix to this title prior to editorial reclassification and renumbering as this section.

Prior Provisions

A prior section 401 of act Oct. 17, 1940, ch. 888, art. IV, 54 Stat. 1183; Oct. 6, 1942, ch. 581, § 13, 56 Stat. 774; Pub. L. 102–12, § 9(12), Mar. 18, 1991, 105 Stat. 40, related to persons entitled to benefits, applications, and amount of insurance protected, prior to the general amendment of this Act by Pub. L. 108–189. See section 3972 of this title. Provisions similar to this section were contained in section 400 of act Oct. 17, 1940, ch. 888, art. IV, 54 Stat. 1183; Oct. 6, 1942, ch. 581, § 13, 56 Stat. 773; July 11, 1956, ch. 570, § 1, 70 Stat. 528; Pub. L. 102–12, § 9(11), Mar. 18, 1991, 105 Stat. 40, prior to the general amendment of this Act by Pub. L. 108–189.

Statutory Notes and Related Subsidiaries

Effective Date

Section applicable to any case not final before Dec. 19, 2003, see section 3 of Pub. L. 108–189, set out as a note under section 3901 of this title.

§3971 Definitions