THIRTEENTH CONGRESS OF THE REPUBLIC 
1 
First Regular Session 
) 
OF THE PHILIPPINES 
) 
'04 Jli- -2 
A 8 148 
EXPLANATORY NOTE 
The Constitution mandates that the Armed Forces of the Philippines be 
the primary protector of the state of the Filipino people. 
Time and again, the country has depended on our military and police in 
safeguarding the basic rights of every individual. It is common knowledge, 
however, that despite the formidable task assigned to them lie the sacrifices they 
have to offer the country, not to mention the danger leveled against their lives 
and limbs aggravated by their negative financial profile as reflected by the 
soldier's low basic pay. 
Through Presidential Decree No. 352 issued by former President 
Ferdinand Marcos, a special group term insurance for the members of the Armed 
Forces of the Philippines was created designed to help its members in the form 
of wake and burial assistance in the amount of P6,OOO.OO. This amount was later 
increased to P12,OOO.OO. 
This bill seeks to address the said economic plight of military men and 
their families by increasing the aforesaid insurance to P50,OOO. Thus, the 
immediate approval of this bill is earnestly requested. 
Senator 


THIRTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
) 
) 
First Regular Session 
) 
*a 
Jill -2 
4 8 :4& ' 
AN ACT 
INCREASING THE SPECIAL GROUP TERM INSURANCE COVERAGE FOR 
THE MEMBERS OF THE ARMED FORCES INCLUDING THE MEMBERS OF 
THE PHILIPPINE NATIONAL POLICE, AMENDING FOR THE PURPOSE 
PRESIDENTIAL DECREE NUMBERED 352, AS AMENDED, AND FOR OTHER 
PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled 
SECTION ONE. Section 1 of Presidential Decree Numbered 352, as 
amended by Presidential Decree Numbered 1635, is hereby further amended to 
read as follows: 
"Section1 . Subject to such terms and conditions as maybe mutually 
acceptable to the [Government Service Insurance System or other 
insurance firms] ARMED FORCES OF THE PHILIPPINE MUTUAL 
BENEFIT ASSOCIATION 
INCORPORATED (AFPMBAI) AS THE 
INSURER, [and] the Chief of Staff of the Armed Forces of the Philippines 
(AFP) AND THE CHIEF, PHILIPPINE NATIONAL POLICE, including the 
rates of insurance premiums contribution (remaining fifty percent), and 
approved by the [Minister] SECRETARY of National Defense and 
SECRETARY 
OF 
INTERIOR 
AND 
LOCAL 
GOVERNMENT 
RESPECTIVELY, each member of the Armed Forces of the Philippines 
and the [Integrated] PHILIPPINE National Police in active service, to 
include cadets of the Philippine Military Academy, the Philippine Air 
Forces Flying School, and the PHILIPPINE draftees, shall be insured 
under an annual Special Group Term Insurance Coverage program, 
renewable annually thereafter, [ for not exceeding P12,000.00] For Not 
Less Than Fifty Thousand Pesos (P50,OOO.OO) per said member, in 
addition to such compulsory insurance for members of the Armed Forces 
of the Philippines and the [Integrated] PHILIPPINE National Police by the 
Government Service Insurance System as provided for by existing laws : 
1 PROVIDED, THAT PAYMENT OF ONE-HALF OF THE BENEFITS, 
CORRESPONDING 
TO 
THE 
GOVERNMENT 
COUNTERPART 


PREMIUM, SHALL BE MADE TO THE LEGAL HEIRS AS DEFINED IN 
THE CIVIL CODE OF THE PHILIPPINES AND THE OTHER HALF TO 
THE DESIGNATED BENEFICIARIES THEREIN: AND, PROVIDED, 
FURTHER, THAT THE BENEFITS GRANTED HEREIN SHALL BE 
FORFEITED BY THOSE WHO ARE CHARGED AND SUBSEQUENTLY 
FOUND GUILTY OF CRIME AGAINST THE STATE, EXCEPT ONE-HALF 
THEREOF, CORRESPONDING TO THE PREMIUM PAID BY THE 
INSURED, WHICH SHALL INSURE TO THE BENEFIT OF THE LEGAL 
HEIRS AND THE BENEFICIARIES TO BE PAID IN THE MANNER 
PROVIDED FOR IN THE LAST PRECEDING SENTENCES.” 
SEC. 2. The additional government counterpart premium contributions 
required to carry out the purpose of this act is hereby authorized to be 
appropriated and such sum shall thereafter be included in the annual General 
Appropriations Act of the Department of National Defense and the Department of 
Interior and Local Government respectively. 
SEC. 3. This Act shall take effect fifteen (15) days after its complete 
publication in the Official Gazette or in at least two (2) newspapers of general 
circulation. 
Approved,