---
kind: "section"
citation: "38 U.S.C. § 1970"
title: "38"
title_heading: "Veterans’ Benefits"
number: "1970"
heading: "Beneficiaries; payment of insurance"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/38/1970"
units:
  - "Part II — General Benefits"
  - "Chapter 19 — Insurance"
  - "Subchapter III — Servicemembers’ Group Life Insurance"
---

# §1970. Beneficiaries; payment of insurance

- (a) Any amount of [insurance](/usc/38/1901.md?p=1) under this subchapter in force on any [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5) on the date of the insured’s death shall be paid, upon the establishment of a valid claim therefor, to the person or persons surviving at the date of the insured’s death, in the following order of prec­edence:

  First, to the beneficiary or beneficiaries as the [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5) may have designated by a writing received prior to death (1) in the [uniformed services](/usc/38/1965.md?p=6) if insured under Servicemembers’ Group Life [Insurance](/usc/38/1901.md?p=1), or (2) in the administrative office established under [section 1966(b) of this title](/usc/38/1966.md?p=b) if separated or released from service, or if assigned to the Retired [Reserve](/usc/38/101.md?p=26), and insured under Servicemembers’ Group Life [Insurance](/usc/38/1901.md?p=1), or if insured under [Veterans](/usc/38/1101.md?p=1)’ Group Life [Insurance](/usc/38/1901.md?p=1);

  Second, if there be no such beneficiary, to the [widow](/usc/38/1901.md?p=2) or [widower](/usc/38/1901.md?p=2) of such [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5);

  Third, if none of the above, to the [child](/usc/38/1901.md?p=3) or children of such [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5) and descendants of deceased children by representation;

  Fourth, if none of the above, to the [parents](/usc/38/1901.md?p=4) of such [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5) or the survivor of them;

  Fifth, if none of the above, to the duly appointed executor or administrator of the estate of such [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5);

  Sixth, if none of the above, to other next of kin of such [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5) entitled under the laws of domicile of such [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5) at the time of the insured’s death.

- (b) If any person otherwise entitled to payment under this section does not make claim therefor within one year after the death of the [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5), or if payment to such person within that period is prohibited by Federal statute or regulation, payment may be made in the order of precedence as if such person had predeceased the [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5), and any such payment shall be a bar to recovery by any other person.
- (c) If, within two years after the death of the [member](/usc/38/1965.md?p=5) or former [member](/usc/38/1965.md?p=5), no claim for payment has been filed by any person entitled under the order of precedence set forth in this section, and neither the [Secretary](/usc/38/101.md?p=1) nor the administrative office established by the [insurance](/usc/38/1901.md?p=1) company or companies pursuant to [section 1966(b) of this title](/usc/38/1966.md?p=b) has received any notice that any such claim will be made, payment may be made to a claimant as may in the judgment of the [Secretary](/usc/38/101.md?p=1) be equitably entitled thereto, and such payment shall be a bar to recovery by any other person.
- (d) The [member](/usc/38/1965.md?p=5) may elect settlement of [insurance](/usc/38/1901.md?p=1) under this subchapter either in a lump sum or in thirty-six equal monthly installments. If no such election is made by the [member](/usc/38/1965.md?p=5) the beneficiary or beneficiaries may elect settlement either in a lump sum or in thirty-six equal monthly installments. If the [member](/usc/38/1965.md?p=5) has elected settlement in a lump sum, the beneficiary or beneficiaries may elect settlement in thirty-six equal monthly installments.
- (e) Until and unless otherwise changed, a beneficiary designation and settlement option filed by a [member](/usc/38/1965.md?p=5) with the [member](/usc/38/1965.md?p=5)’s uniformed service under prior provisions of law will be effective with respect to the increased [insurance](/usc/38/1901.md?p=1) authorized under the [Veterans](/usc/38/1101.md?p=1)’ Insurance Act of 1974 and the [insurance](/usc/38/1901.md?p=1) shall be settled in the same proportionate amount as the portion designated for such beneficiary or beneficiaries bore to the amount of [insurance](/usc/38/1901.md?p=1) heretofore in effect.
- (f) Notwithstanding the provisions of any other law, payment of matured Servicemembers’ Group Life [Insurance](/usc/38/1901.md?p=1) or [Veterans](/usc/38/1101.md?p=1)’ Group Life [Insurance](/usc/38/1901.md?p=1) benefits may be made directly to a minor [widow](/usc/38/1901.md?p=2) or [widower](/usc/38/1901.md?p=2) on his or her own behalf, and payment in such case shall be a complete acquittance to the insurer.
- (g) Any payments due or to become due under Servicemembers’ Group Life [Insurance](/usc/38/1901.md?p=1) or [Veterans](/usc/38/1101.md?p=1)’ Group Life [Insurance](/usc/38/1901.md?p=1) made to, or on account of, an insured or a beneficiary shall be exempt from taxation, shall be exempt from the claims of creditors, and shall not be liable to attachment, levy, or seizure by or under any legal or equitable process whatever, either before or after receipt by the beneficiary. The preceding sentence shall not apply to (1) collection of amounts not deducted from the [member](/usc/38/1965.md?p=5)’s pay, or collected from him by the [Secretary concerned](/usc/38/101.md?p=25) under [section 1969(a) of this title](/usc/38/1969.md?p=a), (2) levy under subchapter D of chapter 64 of the Internal Revenue Code of 1986 ([26 U.S.C. 6331](/usc/26/6331.md) et seq.) (relating to the seizure of property for collection of taxes), and (3) the taxation of any property purchased in part or wholly out of such payments.
- (h) [Insurance](/usc/38/1901.md?p=1) payable under this subchapter may not be paid in any amount to the extent that such amount would escheat to a [State](/usc/38/101.md?p=20). Payment of [insurance](/usc/38/1901.md?p=1) under this subchapter may not be made to the estate of the insured or the estate of any beneficiary of the insured unless it is affirmatively shown that any amount to be paid will not escheat to a [State](/usc/38/101.md?p=20). Any amount to be paid under this subchapter shall be reduced to the extent necessary to comply with this subsection.
- (i) Any amount of [insurance](/usc/38/1901.md?p=1) in force on an [insurable dependent](/usc/38/1965.md?p=10) of a [member](/usc/38/1965.md?p=5) under this subchapter on the date of the [dependent](/usc/38/3452.md?p=d)’s death shall be paid, upon the establishment of a valid claim therefor, to the [member](/usc/38/1965.md?p=5) or, in the event of the [member](/usc/38/1965.md?p=5)’s death before payment to the [member](/usc/38/1965.md?p=5) can be made, then to the person or persons entitled to receive payment of the proceeds of [insurance](/usc/38/1901.md?p=1) on the [member](/usc/38/1965.md?p=5)’s life under this subchapter.

## Source credit

(Added Pub. L. 89–214, § 1(a), Sept. 29, 1965, 79 Stat. 883, § 770; amended Pub. L. 91–291, § 5, June 25, 1970, 84 Stat. 330; Pub. L. 93–289, § 7, May 24, 1974, 88 Stat. 169; Pub. L. 97–295, § 4(31), Oct. 12, 1982, 96 Stat. 1307; Pub. L. 97–306, title IV, § 401(a), Oct. 14, 1982, 96 Stat. 1442; Pub. L. 99–576, title VII, § 701(40), Oct. 28, 1986, 100 Stat. 3294; Pub. L. 102–54, § 14(b)(17), June 13, 1991, 105 Stat. 284; renumbered § 1970 and amended Pub. L. 102–83, §§ 4(b)(1), (2)(E), 5(a), (c)(1), Aug. 6, 1991, 105 Stat. 404–406; Pub. L. 104–275, title IV, § 405(b)(1)(D), Oct. 9, 1996, 110 Stat. 3339; Pub. L. 105–368, title III, § 302(b), Nov. 11, 1998, 112 Stat. 3333; Pub. L. 107–14, § 4(e), June 5, 2001, 115 Stat. 29; Pub. L. 109–13, div. A, title I, § 1012(g), May 11, 2005, 119 Stat. 246; Pub. L. 109–80, § 2, Sept. 30, 2005, 119 Stat. 2045.)

## Notes

### Editorial Notes

### References in Text

Veterans’ Insurance Act of 1974, referred to in subsec. (e), is Pub. L. 93–289, May 24, 1974, 88 Stat. 165, which enacted sections 777, 778, and 779 [now 1977, 1978, and 1979] of this title, section 707 of Title 37, Pay and Allowances of the Uniformed Services, amended sections 723, 765, 767 to 771, and 774 [now 1923, 1965, 1967 to 1971, and 1974] of this title, and enacted provisions set out as notes under sections 723, 765, 767, and 768 [now 1923, 1965, 1967, and 1968] of this title and section 707 of Title 37. For complete classification of this Act to the Code, see Tables.

Subchapter D of chapter 64 of the Internal Revenue Code of 1986, referred to in subsec. (g)(3), is classified to subchapter D (§ 6331 et seq.) of chapter 64 of Title 26, Internal Revenue Code.

### Amendments

2005—Subsec. (j). Pub. L. 109–13, § 1012(g), which directed addition of subsec. (j), was repealed by Pub. L. 109–80. See Effective and Termination Dates of 2005 Amendments note below. Subsec. (j) read as follows: “A member with a spouse may not modify the beneficiary or beneficiaries designated by the member under subsection (a) without providing written notice of such modification to the spouse.”

2001—Subsec. (i). Pub. L. 107–14 added subsec. (i).

1998—Subsec. (g). Pub. L. 105–368, in first sentence, substituted “Any payments” for “Payments of benefits” and inserted “an insured or” after “or on account of,”.

1996—Subsecs. (a), (f), (g). Pub. L. 104–275 substituted “Servicemembers’ Group” for “Servicemen’s Group” wherever appearing.

1991—Pub. L. 102–83, § 5(a), renumbered section 770 of this title as this section.

Subsec. (a). Pub. L. 102–83, § 5(c)(1), substituted “1966(b)” for “766(b)”.

Subsec. (c). Pub. L. 102–83, § 5(c)(1), substituted “1966(b)” for “766(b)”.

Pub. L. 102–83, § 4(b)(1), (2)(E), substituted “Secretary” for “Administrator” in two places.

Subsec. (g)(1). Pub. L. 102–83, § 5(c)(1), substituted “1969(a)” for “769(a)”.

Subsec. (g)(2). Pub. L. 102–54 substituted “Internal Revenue Code of 1986” for “Internal Revenue Code of 1954”.

1986—Subsec. (a). Pub. L. 99–576, § 701(40)(A), substituted “the insured’s” for “his” in two places in introductory text and in one place in par. Sixth.

Subsec. (e). Pub. L. 99–576, § 701(40)(B), substituted “the member’s” for “his”.

1982—Subsec. (c). Pub L. 97–306, § 401(a)(1), struck out provision that if, within four years after the death of the member or former member, payment had not been made pursuant to this section and no claim for payment by any person entitled under this section was pending, the amount payable would escheat to the credit of the revolving fund referred to in section 769(d) of this title.

Subsec. (g). Pub. L. 97–295 inserted “(26 U.S.C. 6331 et seq.)” after “Code of 1954”.

Subsec. (h). Pub. L. 97–306, § 401(a)(2), added subsec. (h).

1974—Subsec. (a). Pub. L. 93–289, § 7(1), included in par. First writings received in the administrative office established under section 766(b) of this title if separated or released from service, or if assigned to the Retired Reserve, and insured under Servicemen’s Group Life Insurance, or if insured under Veterans’ Group Life Insurance.

Subsec. (e). Pub. L. 93–289, § 7(2), substituted “the Veterans’ Insurance Act of 1974” for “this amendatory Act”.

Subsecs. (f), (g). Pub. L. 93–289, § 7(3), included payment of benefits under Veterans’ Group Life Insurance.

1970—Subsecs. (e) to (g). Pub. L. 91–291 added subsecs. (e) to (g).

### Statutory Notes and Related Subsidiaries

### Effective and Termination Dates of 2005 Amendments

Amendment by Pub. L. 109–80 effective Aug. 31, 2005, and this section shall be applied as if section 1012 of Pub. L. 109–13 had not been enacted, see section 2 of Pub. L. 109–80, set out as a note under section 1967 of this title.

Amendment by Pub. L. 109–13 effective through the earlier of Dec. 31, 2005, or, with respect to certain sections of Public Law 109–13, the date of the enactment into law of legislation that supersedes the provisions of, or the amendments made by, those sections, see section 115 of Pub. L. 109–77, set out as a note under section 1967 of this title.

### Effective Date of 2001 Amendment

Amendment by Pub. L. 107–14 effective on the first day of the first month that begins more than 120 days after June 5, 2001, see section 4(g)(1) of Pub. L. 107–14, set out as a note under section 101 of this title.

### Effective Date of 1998 Amendment

Pub. L. 105–368, title III, § 302(c), Nov. 11, 1998, 112 Stat. 3333, provided that: “The amendments made by this section [enacting section 1980 of this title and amending this section] shall take effect 90 days after the date of the enactment of this Act [Nov. 11, 1998].”

### Effective Date of 1982 Amendment

Pub. L. 97–306, title IV, § 401(b), Oct. 14, 1982, 96 Stat. 1442, provided that: “The amendments made by subsection (a) [amending this section] shall take effect on October 1, 1982.”

### Effective Date of 1970 Amendment

Amendment by Pub. L. 91–291 effective June 25, 1970, see section 14(a) of Pub. L. 91–291, set out as a note under section 1317 of this title.