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Title 10, Armed ForcesRelease 119-110

§1098 Incentives for Participation in Cost-effective Health Care Plans

Title 10 › Subtitle A — General Military Law › PART II — PERSONNEL › CHAPTER 55 — MEDICAL AND DENTAL CARE › § 1098

Last updated Sep 22, 2026|Official source

Summary

The Secretary of Defense can waive, in whole or part, certain coverage limits or patient payment rules for health plans contracted under sections 1079 or 1086. The Secretary may only approve a waiver if they find the changed plan will either cost the Government less than a plan with the limits or give better services without raising the Government’s cost. The Secretary must send a report to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives comparing costs and benefits of the waived plan and a non‑waived plan. A waiver cannot begin until 180 days after that report is sent.

Full Legal Text

Title 10, §1098

Armed Forces, Source: USLM XML via OLRC

(a)Waiver of Limitations and Copayments.—
Subject to subsection (b), the Secretary of Defense, with respect to any plan contracted for under the authority of section 1079 or 1086 of this title, may waive, in whole or in part—
(1)any limitation set out in the second sentence of section 1079(a) of this title; or
(2)any requirement for payment by the patient under section 1079(b) or 1086(b) of this title.
(b)Determination and Report.—
(1)Subject to paragraph (3), the Secretary may waive a limitation or requirement as authorized by subsection (a) if the Secretary determines that during the period of the waiver such a plan will—
(A)be less costly to the Government than a plan subject to such limitations or payment requirements; or
(B)provide better services than those provided by a plan subject to such limitations or payment requirements at no additional cost to the Government.
(2)The Secretary shall submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives a report with respect to a waiver under paragraph (1), including a comparison of costs of and benefits available under—
(A)a plan with respect to which the limitations and payment requirements are waived; and
(B)a plan with respect to which there is no such waiver.
(3)A waiver under paragraph (1) may not take effect until the end of the 180-day period beginning on the date on which the Secretary submits the report required by paragraph (2) with respect to such waiver.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

1999—Subsec. (b)(2). Pub. L. 106–65 substituted “and the Committee on Armed Services” for “and the Committee on National Security”. 1996—Subsec. (b)(2). Pub. L. 104–106 substituted “Committee on Armed Services of the Senate and the Committee on National Security of the House of Representatives” for “Committees on Armed Services of the Senate and House of Representatives”. 1990—Subsec. (a). Pub. L. 101–510 substituted “subsection (b)” for “subsections (b) and (c)” in introductory provisions.

Reference

Citations & Metadata

Citation

10 U.S.C. § 1098

Title 10, Armed Forces

Last Updated

Sep 22, 2026

Release point: 119-110