**May 25, 1979 M29-1, Part VIII**

**CHAPTER 3. FILING SYSTEM FOR INSURANCE FOLDERS**

**3.01 TERMINAL DIGIT FILING SYSTEM**

The insurance folders are filed according to the numerical system known
as the \"Terminal Digit Filing System.\" The fundamental principle of
this system consists of dividing the numbers into groups which are read
from right to left. The two numbers on the extreme right are called
\"primary\" digits; the two numbers to the left of the primary digits
are called \"secondary\" digits; the remaining numbers are referred to
as \"final numbers.\" The number V17104628 would be broken down as:

Final Numbers Secondary Digits Primary Digits

V1710 46 28\
**3.02 FILE PREFIX ORDER OF PRECEDENCE**

a\. The following list shows the file number prefixes in their order of
precedence. It may be used as a guide when it becomes necessary to
determine which policy number is the file number when multiple prefixes
are shown on the folder.

\(1\) FV

\(2\) FRS

\(3\) FRH

\(4\) FH

\(5\) FJ

\(6\) FK

b\. Policies prefixed by the letters W, JR, or JS are never used as file
number prefixes.

**3.03 ARRANGING FOLDERS INTO TERMINAL-DIGIT ORDER**

To arrange a group of folders into terminal-digit order, the following
steps should be taken. Assume the folders are in the primary digits of
20 through 39.

Step 1 - Separate all of the folders having the same primary digits into
individual groups.

Step 2 - Arrange the folders within each group numerically according to
the secondary digits.

Step 3 - Arrange the folders numerically according to the final numbers
within the individual groups. EXAMPLE

Step l - Primary digits

20 21 27 30 31 35 37 39

Step 2 - Secondary Primary Secondary Primary

03 20 37 3l\
10 20 39 31\
99 20 01 35\
00 21 02 35\
34 21 70 35\
71 21 91 35\
34 27 00 37\
20 30 64 37\
31 30 20 39\
00 31 20 39

3-1

M29-1,Part VIII May 25,1979

Step 3 - Final Secondary Primary

1 03 20\
1764 10 20\
8762 99 20\
00 21\
301 34 21\
1 71 21\
20 34 27\
39 20 30\
602 31 30\
201 00 31\
1684 37 31\
1685 39 31\
1701 01 35\
1701 02 35\
8271 70 35\
8701 91 35\
2 00 37\
1303 64 37\
1501 20 39\
1762 20 39

**3.04 FILING MATERIAL IN FOLDERS**

Standardized insurance folders are designed to provide for top filing.
Folders currently in use which provide for side filing should be
converted to provide for top filing. A heavy duty backing sheet with two
prong fastener in-top filing position will be side filed on top of all
previously side filed material. Thereafter, all material filed in the
folder will be top filed.

**3.05 FILE MATERIAL**

a\. Material referred to the Insurance Files Section will be accepted as
file material only when properly marked \"FILE,\" \"READY FOR FILE,\"
\"POSTED,\" or \"NAN\" (no answer necessary). The name and mail routing
symbol of the person authorizing the file action and the date should
appear on the material. The material should be properly identified with
the veteran\'s name and insurance file number.

b\. The file clerk will associate the material with the corresponding
insurance folder for filing therein. In addition to comparing the file
number, the veteran\'s name will also be compared. Care will be
exercised in filing the material in a neat, orderly manner to facilitate
easy reading, turning of pages and preservation. All material will be
attached to the folder with the two-prong fastener. No material will be
drop filed. All VA Forms 29-336, Designation of Beneficiary and Optional
Settlement, or equivalent, will be filed on a priority basis.

**3.06 FILING ORDER OF MATERIAL**

Official documents including formal and informal applications, except
applications for disability insurance benefits will be filed on the left
side of the insurance folder. The following forms will also be filed on
the left, cleated face down and lengthwise, so that they may be folded
back over subsequently filed material: a. VA Form 1-670a, Appeal Record
Card (VARMS); b. VA Form 20-8772, Veterans Appeal Record Code Sheet; c.
VA Form 2-22a, Appointment of Attorney or Agent as Claimant\'s
Representative; d. VA Form 2-23, Power of Attorney and Delegation of
Authority; e. VA Form 23-22, Appointment of Veterans Service
Organization as Claimant\'s Representative; f. VA Form 29A337,
Authorization for Release of Information From Insurance Records (or
equivalent); and g. VA Form 29-S7l6b, DIC Diary Card-NSLI-USGLI. All
correspondence, except informal applications and informal beneficiary
and optional changes will be filed on the right side of the insurance
folder.

**3-2**

**M29-1, Part VIII**

**Advance Manual Change No. 2-81 November 16, 1981**

**[Chapter 3 - FILING SYSTEM FOR INSURANCE FOLDERS]{.underline}**

A. [Change:]{.underline} M29-1, Part VIII, Chapter 3.\
B. [Procedure:]{.underline} Page 3-2, delete paragraph 3.06 and
substitute the following:\
**3.06 FILING ORDER OF MATERIAL**

Official documents including formal and informal applications, except
applications for disability insurance benefits will be filed on the left
side of the insurance folder. The following forms will also be filed on
the left, cleated face down and lengthwise, so that they may be folded
back over subsequently filed material: (a) VA Form 1- 670a, Appeal
Record Card (VARMS); (b) VA Form 20-8772, Veterans Appeal Record Code
Sheet; (c) VA Form 2-22a, Appointment of Attorney or Agent as
Claimant\'s Representative; (d) VA Form 2-23, Power of Attorney and
Delegation of Authority; (e) VA Form 23-22, Appointment of Veterans
Service Organization as Claimant\'s Representative; and (f) VA Form
29-5716b, DIC Diary Card - NSLI - USGLI. All correspondence, except
informal applications and informal beneficiary and optional changes will
be filed on the right side of the insurance folder.

C. New or Revised

[Insurance Forms]{.underline}: None

ROBERT W. CAREY

Assistant Director for Insurance (29)

[DISTRIBUTION]{.underline}:

335/29 16\
310/291 11\
310/290 6\
310/Library 1

**May 25, 1979 M29-1, Part VIII**

**3.07 OUT-OF-FILE FOLDERS**

Folders that are charged out will not be searched for attachment of the
file material unless the folder has been charged out for 30 days or
more, and it is not on temporary transfer or a death case. The material
will be placed in the chargeout jacket for filing when the folder is
returned to files.

**3.08 FILE MAINTENANCE**

A systematic program for sequence checking will be established in each
office. The purpose of this folder-by-folder check is to locate misfiled
folders. When a misfiled folder is located, it should be brought to the
immediate attention of the Chief, Insurance Files Section, if there is a
reconstructed folder in its place in the files.

**3-3**