Evening star., 1926-03-28

Seven and onehalf years after the
close of the World War will find the
Federal Government making It's tirst
effort to curtail definitely the cost OF
benefits extended TO the service men
of that war. June 80, 1926. Is the
limit, under present law. of time dur
ing which the Government can main
tain disabled veterans In vocational
training courses at Government ex-
pense. July .. 1926. is the latest date
on which veterans may convert their
temporary Government war risk IN
surance into permanent forms OF Gov
ernment insurance.
These dates were fixed by laws
passed several years ago, and, as their
arrival draws near, Congress Is show
ing less disposition than formerly to
extend the dates. Many congressman
are pointing out that the vocational
training dates have been extended sew
eral times, and that the training pro-
gram is probably completed now II
it ever can be called complete.
AS to the insurance, the Congress
men who oppose further extension OF
dates point out that repeated pub
licity campaigns have been carried on
to persuade veterans TO convert their
wartime or term" insurance into
permanent Government policies. They
contend that those who have not
taken the permanent policies simply
do not want them. or. else, are so
given to representation that they
would not convert their policies even
If more years were allowed. They also
refer to the fact that the so-called
soldiers bonus was really a gift OF
paid.up insurance policy to each vet
eran, and that the ex-Service men as
a whole are. therefore. the best in.
sured group of citizens In the country.
Law Soon to Lapse.
Unless the law is extended BY the
Congress between now and July 2 a
considerable number OF the 100000
veterans now carrying the term insur-
ance win simply drop it on that date.
Term insurance Is the simplest kind
Of life insurance, being merely fnsur-
ance which operates from month to
month so long as it Is paid for, but
has no accommodating value and never
becomes "paid up It is the kind per-
mitted to all service men during the
war The rates were based on actual
cost, figured by insurance mortality
tah'es In 'noarn tina The Govern
ment assumed the war risk" and has,
therefore been somewhat loser on
the bargain.
changing this insurance into perma.
nent forms Of insurance whenever the
motley holder desired up to Julv 2.
1925. More than half Of those who
kept anv insurance with the Govern
tnent have converted their policies
into some permanent form. Others are
converting every dav. and about
81 900 900 worth Of insurance is being
converted daily. in expectation that 1t
| ronst be changed by july 2 II at all.
This rate. however. will mean only
thst PERHAPS one-fourth of those now
holding term insurance will convert
bv July 2. The others will drop their
policies.
Advantages of Converted Insurance.
The saving to the Government can.
not, of course, be estimated; certainly
not until the closing date for term
insurance arrives; but whether 1t is
large or small, 1t will mark the first
point where the Government really
begins spending less for one branch Of
its service to ex-Service men of the
war, instead of more from year to
year. The converted insurance carried
: by the veterans has SO far more than
paid for itself, the surplus going back
To the policy holders each year in
uiNIuCIiOS. 11CAlG0 IL tho Jaw IS IlOL dl'
tered before July the insurance serv-
| ice of the United States Veterans Bu.
reau will then become practically self.
supporting. There will remain AN e'a-
ment of loss to be met through the
payments going forward over periods
of years to men who have died or be-
| come permanently disabled while car.
| rying term insurance. but that
| amount will become a known factor
when term insurance is discontinued
! It Is not certain that the July 2
! closing date for carrying term in
| surance will not be altered. The
veterans organizations, led by the
American Legion, are asking Con.
~~Ass to nostpone the termination
date for three years more, and a bill
| has been introduced and favorably
reported for that purpose in the pres
! ent Congress. It's proponents main
! tain that the former service men are
not yet able to carry the other forms
| Of policies, and that the cheaper form
| Of insurance should be available a
| little longer. While hopeful Of get
| ting the three-year extension. the
| veterans groups are at the same time
! urging their members to hasten
! about the business Of converting
their insurance to permanent poll
! cies, III case the present law takes
! its course. They urge upon their
members tho fact that converted in.
| surance rates are based on the age
Of the insured, and better terms can