Part CFR: “38 CFR Part 8”
RIN number: “RIN 2900-AR29”
Reference: “86 FR 56846”
Page number: “56846”
DATES: Comments must be received no later than
ADDRESSES: Comments can be submitted via www.Regulations.gov. Comments should indicate that they are submitted in response to “RIN 2900-AR29 – National Life Insurance Premium Payment and Loan Modification”. Comments received will be made available on Regulations.gov for public viewing, inspection or copies.
FOR MORE INFORMATION, CONTACT:
ADDITIONAL INFORMATION: Under the authority of 38 USC 1901-1929,
1. Payment of premiums for programs issuing new policies
Section 1908 of Title 38, USC, requires
2. Adjust policy loan amounts and interest rates
Section 1906 of Title 38, USC, provides
In addition, managing multiple loans for a single policyholder is administratively complex and costly. In addition, it would be prohibitively expensive to modify current technology to support multiple loans for a single policyholder. Thereby,
Executive decrees 12866 and 13563
Decrees 12866 and 13563 require agencies to assess the costs and benefits of available regulatory alternatives and, when regulation is needed, to select regulatory approaches that maximize the net benefits (including potential effects on the economy, environment, public health and safety, and other benefits; impacts and equity). Executive Decree 13563 (Better Regulation and Regulatory Review) emphasizes the importance of quantifying both costs and benefits, reducing costs, harmonizing rules and promoting flexibility.
Regulatory Flexibility Act
The Secretary hereby certifies that this proposed rule would not have a significant economic impact on a substantial number of small entities as defined in the Regulatory Flexibility Act, 5 USC 601-612. This proposed rule would directly affect only individuals and would not directly affect small entities. Therefore, in accordance with 5 USC 605 (b), the initial and final regulatory flexibility analysis requirements of 5 USC 603 and 604 do not apply.
The 1995 Unfunded Mandates Reform Act, 2 USC 1532, requires agencies to prepare an assessment of anticipated costs and benefits before issuing a rule that may result in spending by state, local, and government governments. tribals, as a whole, or by the private sector,
PAPER REDUCTION Act
This proposed rule does not contain any provision constituting information gathering under the Paperwork Reduction Act of 1995 (44 USC 3501-3521).
Federal domestic help catalog
The Federal Homemaker Catalog numbers and titles for the programs affected by this document are 64.030, Veterans Life Insurance – Face Amount of New Life Insurance Policies Issued, and 64.031-Veterans Life Insurance- -Direct payments for insurance.
List of topics in 38 CFR Part 8 Disability benefits, life insurance, loan programs – veterans, military personnel, veterans.
For the reasons stated in the preamble, the
PART 8 – NATIONAL ACTIVE LIFE INSURANCE
1. The authority citation for Part 8 continues to read as follows:
Authority: 38 USC 501, 1901-1929, 1981-1988.
(vs) * * *
(2) Policyholders can pay premiums in advance on an annual basis.
(3) Policyholders insured from [EFFECTIVE DATE OF THE FINAL RULE] may pay premiums in advance on an annual, semi-annual or quarterly basis.
a. In paragraph (a), by deleting “which will not exceed 94%” and adding “policy” before “reserve” in the first sentence; and
b. By revising paragraph (d).
The revision reads as follows:
(d) Notwithstanding anything else in this section, the variable loan rate shall not exceed 12 percent or be less than 5 percent per annum. For policyholders with an existing fixed rate loan who subsequently request an additional loan on the same contract, the existing fixed rate loan will be refinanced into a new variable rate loan at the variable rate in force at the time of the new request. loan.
[FR Doc. 2021-22208 Filed 10-12-21;
BILLING CODE 8320-01-P