CFR Part: "38 CFR Part 8"
RIN Number: "RIN 2900-AR29"
Citation: "86 FR 56846"
Page Number: "56846"
DATES: Comments must be received on or before
ADDRESSES: Comments may be submitted through www.Regulations.gov. Comments should indicate that they are submitted in response to "RIN 2900-AR29--National Service Life Insurance Premium Payment and Loan Amendment." Comments received will be available at regulations.gov for public viewing, inspection or copies.
FOR FURTHER INFORMATION CONTACT:
SUPPLEMENTARY INFORMATION: Under the authority of 38 U.S.C. 1901-1929,
1. Payment of Premiums for Programs Issuing New Policies
Section 1908 of title 38, U.S.C., requires
2. Adjust Policy Loan Amounts and Interest Rates
Section 1906 of title 38, U.S.C., provides
In addition, managing multiple loans for a single policyholder is administratively complex and costly. Furthermore, it would be cost prohibitive to modify current technology to support multiple loans for one policyholder. Thus,
Executive Orders 12866 and 13563
Executive Orders 12866 and 13563 direct agencies to assess the costs and benefits of available regulatory alternatives and, when regulation is necessary, to select regulatory approaches that maximize net benefits (including potential economic, environmental, public health and safety effects, and other advantages; distributive impacts; and equity). Executive Order 13563 (Improving Regulation and Regulatory Review) emphasizes the importance of quantifying both costs and benefits, reducing costs, harmonizing rules, and promoting flexibility.
Regulatory Flexibility Act
The Secretary hereby certifies that this proposed rule would not have a significant economic impact on a substantial number of small entities as they are defined in the Regulatory Flexibility Act, 5 U.S.C. 601-612. This proposed rule would directly affect only individuals and would not directly affect any small entities. Therefore, pursuant to 5 U.S.C. 605(b), the initial and final regulatory flexibility analysis requirements of 5 U.S.C. 603 and 604 do not apply.
The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C. 1532, that agencies prepare an assessment of anticipated costs and benefits before issuing any rule that may result in the expenditure by State, local, and tribal governments, in the aggregate, or by the private sector, of
Paperwork Reduction Act
This proposed rule contains no provisions constituting a collection of information under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3521).
Catalog of Federal Domestic Assistance
The Catalog of Federal Domestic Assistance numbers and titles for the programs affected by this document are 64.030, Life Insurance for Veterans--Face Amount of New Life Insurance Policies Issued, and 64.031-Life Insurance for Veterans--Direct Payments for Insurance.
List of Subjects in 38 CFR Part 8 Disability benefits, Life insurance, Loan programs--veterans, Military personnel, Veterans.
For the reasons stated in the preamble, the
PART 8--NATIONAL SERVICE LIFE INSURANCE
1. The authority citation for part 8 continues to read as follows:
Authority: 38 U.S.C. 501, 1901-1929, 1981-1988.
(c) * * *
(2) Policyholders may pay premiums in advance on an annual basis.
(3) Policyholders insured as of [EFFECTIVE DATE OF THE FINAL RULE] may pay premiums in advance on an annual, semi-annual, or quarterly basis.
a. In paragraph (a), by removing "which will not exceed 94 percent" and adding "policy" before "reserve" in the first sentence; and
b. By revising paragraph (d).
The revision reads as follows:
(d) Notwithstanding any other provisions of this section, the variable loan rate shall not exceed 12 percent or be lower than 5 percent per annum. For policyholders with an existing fixed-rate loan who subsequently apply for an additional loan on the same policy, the existing fixed-rate loan shall be refinanced into the new variable-rate loan at the prevailing variable rate at the time of the new loan application.
[FR Doc. 2021-22208 Filed 10-12-21;
BILLING CODE 8320-01-P