H.R. 3576

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3576 Introduced in House (IH)]

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119th CONGRESS
1st Session
H. R. 3576

To amend title 38, United States Code, to make certain improvements to 
the laws administered by the Secretary of Veterans Affairs relating to 
life insurance for veterans, and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

May 23, 2025

Mrs. Biggs of South Carolina introduced the following bill; which was 
referred to the Committee on Veterans' Affairs

_______________________________________________________________________

A BILL

To amend title 38, United States Code, to make certain improvements to 
the laws administered by the Secretary of Veterans Affairs relating to 
life insurance for veterans, and for other purposes.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Veterans' Life Insurance Expansion 
and Integrity Act of 2025''.

SEC. 2. EXPANSION OF DEPARTMENT OF VETERANS AFFAIRS LIFE INSURANCE 
PROGRAM.

(a) In General.--Section 1922B of title 38, United States Code, is 
amended--
(1) in subsection (a)--
(A) in paragraph (1), by striking ``service-
disabled'';
(B) by striking paragraph (3); and
(C) by redesignating paragraphs (4) through (6) as 
paragraphs (3) through (5), respsectively; and
(2) in subsection (b), by striking ``the veteran has a 
service-connected disability'' and all that follows through the 
period at the end of paragraph (2) and inserting the following: 
``the veteran submits an application for such insurance before 
the veteran attains 81 years of age''.
(b) Clerical Amendment.--
(1) Section heading.--Such section is further amended by 
striking the section heading and inserting the following:
``Sec. 1922B. Veterans life insurance''.
(2) Table of sections.--The table of sections at the 
beginning of chapter 19 of such title is amended by striking 
the item relating to section 1922B and inserting the following 
new item:

``1922B. Veterans life insurance.''.
(c) Report.--Not later than two years after the date of the 
enactment of this Act, the Secretary of Veterans Affairs shall complete 
a study on the veterans life insurance program under section 1922B of 
such title (as amended by this Act) and submit to the Committees on 
Veterans Affairs of the House of Representatives and the Senate a 
report that includes, with respect to the period covered by the 
report--
(1) the number of--
(A) veterans enrolled in such program;
(B) claims filed pursuant to such program;
(C) insurance payments made by the Secretary to 
claimants pursuant to such program;
(D) the total amount of insurance payments 
described in subparagraph (C); and
(E) contracts or policies for insurance under 
chapter 19 of such title cancelled or voided by the 
Secretary pursuant to section 1910 of such title (as 
amended by this Act) due to administrative error (as 
defined in such section);
(2) an evaluation of--
(A) the solvency and financial stability of such 
program; and
(B) the sufficiency of premiums under such program; 
and
(3) a statement of the cost savings to the United States 
resulting from the cancellation or voiding by the Secretary, 
pursuant to section 1910 of such title (as amended by this 
Act), of contracts or policies of insurance due to 
administrative error (as defined in such section).
(d) Effective Date.--The amendments made by this section shall take 
effect on the date that is one year after the date of the enactment of 
this Act.

SEC. 3. CONTESTABILITY OF CERTAIN DEPARTMENT OF VETERANS AFFAIRS 
INSURANCE CONTRACTS OR POLICIES ISSUED DUE TO 
ADMINISTRATIVE ERROR.

Section 1910 of such title is amended--
(1) by inserting ``(a) In General.--'' before ``Subject 
to'';
(2) by inserting ``and subsection (b),'' after ``section 
1911 of this title'';
(3) by inserting `` administrative error,'' after 
``nonpayment of premium,''; and
(4) by adding at the end the following new subsections:
``(b) Contests Due to Administrative Error.--
``(1) Prior notice; opportunity to submit evidence.--With 
respect to any decision of the Secretary pursuant to this 
section to cancel or void a contract or policy of insurance due 
to administrative error, the Secretary shall provide the 
insured--
``(A) prior notice of such decision that includes 
an explanation of the administrative error underlying 
such cancellation or voiding; and
``(B) a period of not less than 90 days to submit 
to the Secretary evidence that no administrative error 
occurred with respect to such contract or policy.
``(2) Evidentiary review.--In any case where an insured 
submits to the Secretary evidence described in paragraph 
(1)(B), the Secretary shall determine whether such evidence 
satisfactorily demonstrates that no administrative error 
occurred with respect to the contract or policy of the insured 
by not later than 180 days after the date on which the 
Secretary receives such evidence.
``(3) Limitation.--The Secretary may not, pursuant to this 
section, cancel or void a contract or policy of insurance due 
to administrative error after the date that is one year after 
the date of the issuance, reinstatement, or conversion of such 
contract or policy.
``(4) Applicability.--This subsection shall apply with 
respect to any contract or policy for insurance, regardless of 
whether such contract became effective before, on, or after the 
date of the enactment of this subsection.
``(c) Administrative Error Defined.--In this section, the term 
`administrative error' means a clerical, technical, or processing 
mistake on the part of the Secretary that caused the issuance, 
reinstatement, or conversion of a contract or policy of insurance to an 
individual ineligible for such contract or policy on the date of such 
issuance, reinstatement, or conversion.''.
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