The Key West citizen. [volume] (Key West, Fla.) 1879-current, 1951-05-17
CI Insurance
Free: What's
To Do Now!
By ROGER BROOKS.
Captain. USN tRet.l
NO. (


The death benefits paid under
the SCI vicemen'S Indemnity Act
of 1851 NEW free insurance. can
be compared to the older types
of insm ance GUS Government
life insurance and national ser
vice life insurance. in three ways:
% Who may receive the death
benefits?
death benefits?
(2) IN how many ways can the
benefits be received?
CD How much will the benefits
be?
Under %. the death benefit
under the now free insurance may
be paid only to your close rela-
tives. as. follows: (a) surviving
sno,'se (bl child -f"l rarent (d)
brother or sister. provisions are
added 10 incll'de sucn others as
adopted children. step-parents,
hall brothers, etc.l
You may choose beneficlaries
from among these groups only
and may split the death benefit
among any number of them that
you want to.
The Act goes on to provide a
system for making payments in
case beneficiarieS are not named,
OF do not live to receive all 100
paementi (See Co below. No
payment shall be made to the
estate of a deceased person. For
example, if you name your moth
or as beneficiary but she dies
after receiving only 90 monthly
payments, the other 100 pay
ments will 60 to your next closest
relative (unless you choose other
wiscl. and SO on; but not to your
mothers estate.
Tic older types. USGLI and
NSLI. are not SO limited as to
bcncficiarias; although NSLI was
similar when it first became law
in 1914. six years later lin 1886
the es4lictions on bcncficiaries
were ehiovcd.
A. TO f2)-In how many ways
can hcncfitS be received?-only
one m @thod is provided: 100 equal
monthly inStallments 90 years..
Much broader choice of benefit
payment is provided in both
u Gil and NSLI, although here
tuo<jf first USLI was similar,
limiting payments to a monthly
basis Only; but the 1916 NSL1
law allowed four choices: (al
mriD sum (b> equal monthly paw
mcnts over 3 to 20 years; (cl
monthly payments for the rest of
the life of the beneficiary with
100 payments guaranteed; (dl
monthly payments for the life
of the beneficiary with payment
of full face value guaranteed.
As to t3)-HoW much will the
benefits belt has been COM
puted that these viii amount to
1920 per month on the basis of
the full $4,000 free death bene-
fit ($46.45 on $1,000, etc.. This is
at the 214Gt interest rate which is
the basis of the new free insur-
ance.
The old USGLI provides $3.50
and NSLI $96.l0 per month, on a
$4,000 policy, at their higher in
tclcSt rates. That is, for the same
pc, iod Why the period of 100
months only was written into
the Act is not known to this
writer, nor is it shown in the
Congressional Record OF other
releases on tire subject.
In articles of this series so far,
the writer has covered only the
main points of the new free in
surance. These have led to the
conclusion that you should KEEP
ALL THE USGLI AND NSLI
YOU HAVE. Whether or not you
should ask for the waiver of
premiums on your USGLI or
USLI, possible under the new
law, will be reviewed next time.
In the meantime, if you want
moro information on the new
law, -ws lie to The Key West Citi-
zen. If your. question is one we
thiut, will interest a large group,
we will write it UP in a later
article. If nov, we'll answer you
direct. re SURE TO ENCLOSE
A STAMPED. SELF ADDRESS.