To establish a new allowance for members of the Armed Forces serving in Iraq or Afghanistan to cover the premiums for Servicemembers' Group Life Insurance coverage obtained by the members.

Summary: Servicemembers' Family Protection Act of 2005 - Directs the Secretary of the military department concerned, in the case of a member of the Armed Forces who has obtained Servicemembers' Group Life Insurance (SGLI) coverage and who serves in Iraq or Afghanistan at any time during a month, to pay to such member an allowance equal to the lesser of: (1) the amount of the pay deduction actually made for that month for SGLI coverage; or (2) the deduction made for members who select the $250,000 (highest) level of SGLI coverage.

Requires the Secretary of Defense to pay, on behalf of any member who died after September 11, 2001, as a result of a wound, injury, or illness sustained while serving or traveling to or from a mission in Iraq or Afghanistan, and who was not insured under SGLI at the $250,000 level, the difference between $250,000 and the amount of any SGLI already paid.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Servicemembers' Family Protection 
Act of 2005''.

SEC. 2. ALLOWANCE TO COVER MONTHLY DEDUCTION FROM BASIC PAY FOR 
              SERVICEMEMBERS' GROUP LIFE INSURANCE COVERAGE FOR MEMBERS 
              SERVING IN IRAQ OR AFGHANISTAN.

    (a) Allowance to Cover SGLI Deductions.--Chapter 7 of title 37, 
United States Code, is amended by adding at the end the following new 
section:
``Sec. 437. Allowance to cover monthly deduction from basic pay for 
              Servicemembers' Group Life Insurance coverage for members 
              serving in Iraq or Afghanistan
    ``(a) Reimbursement for Premium Deduction.--In the case of a member 
of the armed forces who has obtained insurance coverage for the member 
under the Servicemembers' Group Life Insurance program and who serves 
in Iraq or Afghanistan at any time during a month, the Secretary 
concerned shall pay the member an allowance under this section in an 
amount equal to the lesser of the following:
            ``(1) The amount of the deduction actually made for that 
        month from the basic pay of the member for the level of 
        Servicemembers' Group Life Insurance coverage obtained by the 
        member under section 1967 of title 38.
            ``(2) The amount of the deduction otherwise made under 
        subsection (a)(1) of section 1969 of title 38 for members who 
        select the $250,000 level of insurance coverage.
    ``(b) Notice of Availability of Allowance.--To the maximum extent 
practicable, in advance of the deployment of a member to Iraq or 
Afghanistan, the Secretary concerned shall give the member information 
regarding the following:
            ``(1) The availability of the allowance under this section 
        for members insured under the Servicemembers' Group Life 
        Insurance program.
            ``(2) The ability of members who elected not to be insured 
        under Servicemembers' Group Life Insurance, or elected less 
        than the authorized maximum coverage, to obtain additional 
        coverage as provided in section 1967(c) of title 38.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
chapter 7 of title 37, United States Code, is amended by adding at the 
end the following new item:

``437. Allowance to cover monthly deduction from basic pay for 
                            Servicemembers' Group Life Insurance 
                            coverage for members serving in Iraq or 
                            Afghanistan.''.
    (c) Effective Date; Notification.--Section 437 of title 37, United 
States Code, as added by subsection (a), shall apply with respect to 
service by members of the Armed Forces in Iraq or Afghanistan for 
months beginning on or after the date of the enactment of this Act. In 
the case of members who are serving in Iraq or Afghanistan as of the 
date of the enactment of this Act, the Secretary of Defense shall 
notify such members, as soon as practicable, regarding--
            (1) the availability of the allowance under such section 
        for members insured under the Servicemembers' Group Life 
        Insurance program; and
            (2) the ability of members who elected not to be insured 
        under Servicemembers' Group Life Insurance, or elected less 
        than the authorized maximum coverage, to obtain additional 
        coverage as provided in section 1967(c) of title 38, United 
        States Code.

SEC. 3. DEPARTMENT OF DEFENSE PAYMENT TO MEMBERS WHO DIED WHILE SERVING 
              IN IRAQ OR AFGHANISTAN WITHOUT FULL SERVICEMEMBERS' GROUP 
              LIFE INSURANCE COVERAGE.

    (a) Payment Required.--The Secretary of Defense shall make a 
payment under this section on behalf of each member of the Armed Forces 
who--
            (1) during the period beginning on September 11, 2001, and 
        ending 60 days after the date on which the Secretary provides 
        the notice required by section 2(c), died as a result of a 
        wound, injury, or illness sustained while the member was 
        serving in Iraq or Afghanistan, or traveling to or from a 
        mission in Iraq or Afghanistan; and
            (2) at the time of the member's death, was not insured 
        under Servicemembers' Group Life Insurance or had elected less 
        than the $250,000 level of insurance coverage under the 
        Servicemembers' Group Life Insurance program.
    (b) Amount of Payment.--The amount of the payment required by this 
section on behalf of a member described in subsection (a) shall be 
equal to the difference between--
            (1) $250,000; and
            (2) the amount of insurance, if any, paid on behalf of the 
        member under the Servicemembers' Group Life Insurance program.
    (c) Beneficiary.--The Secretary of Defense shall make the payment 
required by this section on behalf of a member to the same beneficiary 
determined under section 1970 of title 38, United States Code, for 
receipt of the insurance payment under the Servicemembers' Group Life 
Insurance program with regard to that member. If the member was not 
insured under Servicemembers' Group Life Insurance, the Secretary shall 
determine the recipient of the payment, using the order of precedence 
specified in subsection (a) of such section.