
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 10USC12529]

 
                         TITLE 10--ARMED FORCES
 
                     Subtitle E--Reserve Components
 
                      PART II--PERSONNEL GENERALLY
 
        CHAPTER 1214--READY RESERVE MOBILIZATION INCOME INSURANCE
 
Sec. 12529. Board of Actuaries

    (a) Actuarial Responsibility.--The Board of Actuaries shall have the 
actuarial responsibility for the insurance program.
    (b) Valuations and Premium Recommendations.--The Board of Actuaries 
shall carry out periodic actuarial valuations of the benefits under the 
insurance program and determine a premium rate methodology for the 
Secretary to use in setting premium rates for the insurance program. The 
Board shall conduct the first valuation and determine a premium rate 
methodology not later than six months after the insurance program is 
established.
    (c) Effects of Changed Benefits.--If at the time of any actuarial 
valuation under subsection (b) there has been a change in benefits under 
the insurance program that has been made since the last such valuation 
and such change in benefits increases or decreases the present value of 
amounts payable from the Fund, the Board of Actuaries shall determine a 
premium rate methodology, and recommend to the Secretary a premium 
schedule, for the liquidation of any liability (or actuarial gain to the 
Fund) resulting from such change and any previous such changes so that 
the present value of the sum of the scheduled premium payments (or 
reduction in payments that would otherwise be made) equals the 
cumulative increase (or decrease) in the present value of such benefits.
    (d) Actuarial Gains or Losses.--If at the time of any such valuation 
the Board of Actuaries determines that there has been an actuarial gain 
or loss to the Fund as a result of changes in actuarial assumptions 
since the last valuation or as a result of any differences, between 
actual and expected experience since the last valuation, the Board shall 
recommend to the Secretary a premium rate schedule for the amortization 
of the cumulative gain or loss to the Fund resulting from such changes 
in assumptions and any previous such changes in assumptions or from the 
differences in actual and expected experience, respectively, through an 
increase or decrease in the payments that would otherwise be made to the 
Fund.
    (e) Insufficient Assets.--If at any time liabilities of the Fund 
exceed assets of the Fund as a result of members of the Ready Reserve 
being ordered to active duty as described in section 12521(2) of this 
title, and funds are unavailable to pay benefits completely, the 
Secretary shall request the President to submit to Congress a request 
for a special appropriation to cover the unfunded liability. If 
appropriations are not made to cover an unfunded liability in any fiscal 
year, the Secretary shall reduce the amount of the benefits paid under 
the insurance program to a total amount that does not exceed the assets 
of the Fund expected to accrue by the end of such fiscal year. Benefits 
that cannot be paid because of such a reduction shall be deferred and 
may be paid only after and to the extent that additional funds become 
available.
    (f) Definition of Present Value.--The Board of Actuaries shall 
define the term ``present value'' for purposes of this subsection.

(Added Pub. L. 104-106, div. A, title V, Sec. 512(a)(1), Feb. 10, 1996, 
110 Stat. 303.)
