SBP Coverage Questions-Remarriage, Death, Divorce

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http://www.dfas. mil/retiredpay/ frequentlyaskedq uestions/ survivorbenefits planfaqs/ deathdivorcerema rriage.html
Death/Divorce/ Remarriage

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1. Must I continue to pay SBP costs if my spouse dies?

Answer: No. SBP spouse premiums are not owed for any month that you do not have
an eligible spouse beneficiary. SBP spouse coverage is suspended (not
terminated) upon receipt of notice that your spouse has died and must include a
copy of the death certificate for the spouse. Upon receipt of the death
certificate, SBP costs will be stopped effective with the first day of the month
after the death of your spouse. SBP costs deducted from your retired pay, after
your spouse has died, will be refunded after receipt of your spouse's death
certificate. The amount refunded will be limited, if the death certificate is
submitted more than 6 years after your spouse's death.

The mailing address is:
Defense Finance and Accounting Service
U. S. Military Retirement Pay
PO Box 7130
London KY 40742-7130
FAX: 1-800-469-6559
2. If my spouse dies before me, do I get a refund for all the years that I paid
SBP premiums?

Answer: No. By law, SBP spouse premiums cannot be refunded for any period that
you had an eligible spouse beneficiary.

3. I understand that if my spouse dies, SBP premiums are suspended. What are my
options if I remarry?

Answer: If your SBP coverage is suspended due to the death of your spouse and
you remarry, you have three options.

Option 1: Resume coverage. Your new spouse automatically becomes the eligible
spouse beneficiary on the first anniversary of the marriage or upon the birth of
a child of your new marriage, unless within one year after remarriage you elect
not to provide spouse coverage, as provided in Option 3 below. You should
provide DFAS with the name, social security number, date of birth, and the
marriage certificate for your new spouse as soon as possible, in order to update
your records and properly deduct SBP costs.

Option 2: Increase the level of SBP coverage. Upon remarriage you may increase
the level of coverage up to and including full-retired pay, if you are currently
providing less than maximum coverage. SBP elections become effective when your
new spouse becomes an eligible beneficiary, and any increase in premium, plus
interest, has been paid. If payment of cost plus interest is not completed
before your new spouse becomes an eligible beneficiary, the election to increase
the level of coverage becomes null and void and a refund of cost and interest
associated with the new election and reinstatement of original election coverage
occurs. In addition, if you are participating with maximum spouse coverage, but
you are not a participant in the Supplemental Survivor Benefit Plan (SSBP), you
may elect SSBP upon remarriage. An election to increase the level of SBP
coverage or to add SSBP is irrevocable and must be made within one year after
the remarriage.

Option 3: Terminate coverage. You may elect not to resume spouse coverage. If
you elect not to resume SBP participation for your new spouse, your new spouse
is notified and any SSBP coverage is terminated. An election to terminate spouse
coverage must be made within one year of remarriage and is irrevocable. If your
original SBP participation is for spouse and child, and you elect to terminate
spouse coverage upon remarriage, your children continue to be covered.
Note: Any election under Options 2 or 3 must be in written form. Notice of
remarriage as well as an election to increase coverage or to terminate spouse
coverage may be submitted on DD Form 2656-6 .

The mailing address is:
Defense Finance and Accounting Service
U. S. Military Retirement Pay
PO Box 7130
London KY 40742-7130
FAX: 1-800-469-6559
4. If my spouse has passed away and I have not remarried, will my children
receive my SBP annuity when I die?

Answer: Your children will receive the SBP annuity if you elected coverage for
spouse and children and they are eligible "dependent child" beneficiaries at the
time of your death. An eligible dependent child must be:
Unmarried; Under age 18, or at least 18 but under 22 and pursuing a full-time
course of study in a recognized educational institution, or incapable of self-
support because of physical or mental incapacity, which existed before the
18th birthday or was incurred after age 18 but before age 22 while pursuing a
full-time course of study; and

A child of the member, including an adopted child, stepchild, foster child or
recognized natural child. A stepchild, foster child or recognized natural child
is eligible, so long as the child lived with you in a regular parent-child
relationship.
Note: There are special rules that may apply to foster children, school
attendance for students, and children serving on active duty.

5. If I elected not to participate in the SBP for my spouse when I retired, may
I elect spouse coverage now?

Answer: No. If you were married at retirement and you declined SBP coverage,
there is no authority to elect spouse coverage after retirement, unless Congress
authorizes an open enrollment period. Your Service's official newsletter (Air
Force's Afterburner, Navy's Shift Colors, Army's Echoes, Marine Corps' Semper
Fi) will publicize open enrollment information if and when one occurs.

6. I wasn't married when I retired, so I did not make an election under SBP. If
I get married after retirement, may I elect coverage for my spouse under SBP?

Answer: Yes. You may elect SBP spouse coverage for the first spouse you acquire
after retirement. However, you must elect the coverage before the first
anniversary of your marriage. Send a letter to DFAS (or use DD Form 2656-6 ,
referred to in Question 3 above) requesting SBP coverage for your spouse, and
provide your spouse's name, social security number, date of birth and a copy of
the marriage certificate. You should also certify that you have not been married
from the date that you retired through the day before marriage to your current
spouse. A valid election for SBP coverage will become effective on the first
anniversary of the marriage. The SBP cost will start effective with the first
full month after the first anniversary, if the marriage took place after the
first day of the month. The SBP cost will start on the first anniversary, if the
marriage took place on the first day of the month.

The mailing address is:
Defense Finance and Accounting Service
U. S. Military Retirement Pay
PO Box 7130
London, KY 40742-7130
FAX: 1-800-469-6559

7. My spouse and I didn't have any dependent children when I retired and I
didn't elect child coverage. We now have a child. May I cover the child?

Answer: Yes, you may elect to cover a child as long as you elect to cover the
first child acquired after you retired, within one year of the child's birth or
adoption etc. Subsequent eligible child beneficiaries will automatically be
covered under SBP. You must provide DFAS with the child's name, social security
number, date of birth, and if adopted, a copy of the adoption papers, within one
year after the child is acquired. Evidence of the parent-child relationship is
required in order to elect coverage for stepchildren or foster children.

The mailing address is:
Defense Finance and Accounting Service
U. S. Military Retirement Pay
PO Box 7130
London, KY 40742-7130
FAX: 1-800-469-6559

8. My divorce decree requires that I keep SBP coverage for my ex-spouse. What do
I have to do?

Answer: It is important to understand that your spouse's coverage under the SBP
stops at the date of divorce, since the status as spouse ends on that date.
Termination of the divorced spouse's eligibility is automatic under the law,
even if the agency is not advised of your divorce. You should provide DFAS with
a copy of the divorce decree, and a written request to change coverage to former
spouse coverage. You may make a former spouse SBP election whether or not there
is a provision in your divorce decree requiring you to do so. Any former spouse
SBP election must be made within 1 year of the date of the divorce, whether
voluntary or in compliance with a court order.

The mailing address is:
Defense Finance and Accounting Service
U. S. Military Retirement Pay
PO Box 7130
London, KY 40742-7130
FAX: 1-800-469-6559

9. I am the former spouse of a military retiree and our divorce decree requires
the retiree to provide former spouse SBP coverage for me. Do I need to do
anything?

Answer: Yes. Since there is a provision in a court order or an agreement
approved by a court order, which requires the member to make a former spouse SBP
election, then you or your attorney should submit what is known as a "deemed
election" request. In effect, you are asking that an election of SBP coverage be
made on your behalf to guarantee compliance with the court order or agreement.
The "deemed election" must be made within 1 year from the date of the court
order or agreement that requires the military retiree to provide former spouse
SBP coverage for you.

Note: It is not enough for there to be a provision in a court order awarding the
former spouse SBP coverage. Either the member or the former spouse must make a
request to DFAS within the appropriate 1-year time frame in order for the former
spouse coverage to be implemented. In addition, a former spouse may not deem an
election if the member did not elect SBP coverage when the member first became
eligible to participate in the SBP program. An exception to this rule would
apply if the divorce decree and court order requiring former spouse SBP coverage
are issued before the member retires. In that case, the deemed election must be
submitted to DFAS within 1 year of the relevant court order or agreement even
though the member has not yet elected to participate in the SBP.

The mailing address is:
Defense Finance and Accounting Service
U. S. Military Retirement Pay
PO Box 7130
London, KY 40742-7130
FAX: 1-800-469-6559

10. Will my former spouse's SBP coverage be stopped, if I remarry, and want to
provide coverage for my new spouse?

Answer: It depends. If you voluntarily elected former spouse SBP coverage and
there is no court order or agreement requiring former spouse coverage, then you
may make a written election to change the coverage to your new spouse or
dependent child anytime after you remarry or within one year of acquiring a
dependent child. However, former spouse SBP coverage that is based upon a court
order or written agreement cannot be stopped at your request alone.
Court-ordered former spouse coverage may be changed to spouse coverage, only if
you remarry, and you furnish DFAS a certified copy of a court order that
modifies the provisions of all previous court orders and removes any requirement
to provide former spouse SBP coverage. Former spouse coverage can also be
changed if your former spouse dies.

If the former spouse SBP is based on a written agreement that has not been
incorporated or ratified or approved by a court order, you must furnish DFAS a
statement (in a format prescribed by DFAS), that is signed by you and your
former spouse, which evidences your former spouse's agreement to an election
change. In addition, you must certify either that the court order is valid and
in effect or that the statement is current and in effect.

11. What happens to my former spouse's SBP coverage if my former spouse
remarries before age 55?

Answer: The SBP coverage is suspended and cost deductions from your retired pay
are stopped if your former spouse becomes ineligible due to remarriage before
age 55. The former spouse's SBP coverage is considered suspended for as long as
your former spouse's subsequent marriage remains in effect. If the subsequent,
marriage is terminated by death, annulment, or divorce, your former spouse's
eligibility is reinstated and SBP cost deductions would resume.

12. My spouse and I were recently divorced. Will my SBP cost deductions stop?

Answer: Yes. If you no longer have an eligible spouse beneficiary under SBP,
upon receipt of a divorce decree, the costs will stop and your spouse coverage
will be suspended.

The mailing address is:
Defense Finance and Accounting Service
U. S. Military Retirement Pay
PO Box 7130
London KY 40742-7130
FAX:1-800-469- 6559