< Back to H.R. 5993 (111th Congress, 2009–2010)

Text of the SAVINGS Act of 2010

This bill was introduced in a previous session of Congress and was passed by the House on September 29, 2010 but was never passed by the Senate. The text of the bill below is as of Jul 30, 2010 (Introduced).

This is not the latest text of this bill.

Source: GPO

I

111th CONGRESS

2d Session

H. R. 5993

IN THE HOUSE OF REPRESENTATIVES

July 30, 2010

(for herself, Mr. Filner, Mr. Hall of New York, and Ms. Pingree of Maine) introduced the following bill; which was referred to the Committee on Veterans’ Affairs

A BILL

To amend title 38, United States Code, to ensure that beneficiaries of Servicemembers’ Group Life Insurance receive financial counseling and disclosure information regarding life insurance payments, and for other purposes.

1.

Short title

This Act may be cited as the Securing America’s Veterans Insurance Needs and Goals Act of 2010 or the SAVINGS Act of 2010.

2.

Financial counseling and disclosure information for Servicemembers’ Group Life Insurance beneficiaries

(a)

Financial counseling and disclosure information

(1)

In general

Section 1966 of title 38, United States Code, is amended by adding at the end the following new subsection:

(e)
(1)

In order to be an eligible life insurance company under this section, a life insurance company shall provide financial counseling to a beneficiary or other person otherwise entitled to payment upon the establishment of a valid claim under section 1970(a) of this title.

(2)

The financial counseling provided pursuant to paragraph (1) shall—

(A)

be provided both orally and in writing; and

(B)

include full disclosure with respect to the payment of the claim, including, at a minimum—

(i)

a comparison of the advantages and disadvantages of maintaining such payment with the life insurance company and maintaining such payment with a financial institution;

(ii)

a comparison of the rate of interest bearing to such payment if the payment is maintained with the life insurance company and if the payment is maintained with a financial institution;

(iii)

an explanation of whether maintaining such payment with the life insurance company results in the payment not being insured by the Federal Deposit Insurance Corporation; and

(iv)

other relevant information.

(3)

In order to be an eligible life insurance company under this section, a life insurance company may not charge any fees to a beneficiary or other person otherwise entitled to payment upon the establishment of a valid claim under section 1970(a) with respect to maintaining such payment with the company.

(4)

The Secretary shall include in each annual performance and accountability report submitted by the Secretary to Congress information concerning—

(A)

the number of individuals who received financial counseling under paragraph (1);

(B)

the information received by such individuals during such counseling; and

(C)

any recommendations, complaints, or other information with respect to such counseling that the Secretary considers relevant.

.

(2)

Regulations

The Secretary of Veterans Affairs shall prescribe regulations to carry out section 1966(e) of title 38, United States Code, as added by paragraph (1).

(b)

Office of Survivors Assistance

(1)

Advisory role

Subsection (b) of section 321 of such title is amended—

(A)

by striking The Office and inserting (1) The Office; and

(B)

by adding at the end the following:

(2)

The Director of the Office shall attend each meeting of the Advisory Council on Servicemembers’ Group Life Insurance under section 1974 of this title.

.

(2)

Resources

Subsection (d) of such section is amended—

(A)

by striking The Secretary and inserting (1) The Secretary; and

(B)

by adding at the end the following:

(2)

In carrying out paragraph (1), the Secretary shall ensure that the Office has the personnel necessary to serve as a resource to provide individuals described in paragraph (1) and (2) of subsection (a) with information on how to receive the Servicemembers’ Group Life Insurance financial counseling pursuant to section 1966(e)(1) of this title.

.