who are members of the organization and will take effect during the pay period beginning after the appropriate form, properly completed and signed, has been received in the payroll office; (3) That an eligible employee may make an allotment for the payment of dues by completing the required form at any time; (4) That forms to be used in making voluntary allotments for payment of dues are to be secured from the employee organization and returned to the payroll office through the employee organization; and, (5) That an eligible employee may at any time revoke his allotment for payment of dues, to be effective in the first full pay period following March 1 or September 1, depending upon date of receipt of his revocation in the payroll office, and specifying the office or location within the unit where he can obtain forms and information concerning the revocation of an allotment. (e) The head of the unit will maintain a supply of the form which has been provided for use in revoking an allotment and will make this form available to eligible employees upon request. However, a written request for revocation of an allotment which is otherwise in order and signed by the employee will be accepted and acted upon even though not submitted on the form. (f) Nothing in this § 274.5 requiring arrangements at the local level will preclude the head or other appropriate official of a DoD component from entering into a written arrangement with the head of a national employee organization covering those elements and procedures of the voluntary dues allotment program which can appropriately be covered on a national basis. Any such arrangement will conform with the requirements of references Part 550, Subpart C (Allotments and Assignments from Federal Employees) of the Civil Service Regulations, Supplement 990-1 of the Federal Personnel Manual; Book 550, Subchapter S3-8 (Allotments for Payment of Dues to Employee Organizations), Supplement 990-2 of the Federal Personnel Manual; DOD Directive 1418.4, "Civilian Pay Allotments," December 13, 19631 and this 1 Filed as part of original. Single copies may be obtained from Publications Branch, OASD(A), Room 3B200, Pentagon 22301, Ext. 52167. For purposes of this part, the following definitions will apply: (a) "Time" signifies epoch, that is the designation of an instant on a selected time scale, astronomical or atomic It is used in the sense of time of day. (b) "Time Interval" indicates the du ration of a segment of time without reference to when the time interval begins and ends. Time interval may be given in seconds of time. (c) "Standards" signifies the reference values of time and time interval These standards are determined by as tronomical observation and by the op eration of atomic clocks. They are dis seminated by transport of clocks, radi transmissions, and by other means. § 275.3 Policy. (a) Resources for uniform and stand ard time and time interval operation and research shall be the responsibility o a single DoD Component. (b) The maximum practicable interchange of time and time interval infor mation shall be effected throughout the DOD. (a) The U.S. Naval Observatory (hereafter referred to as the "Observatory") is assigned the responsibility for insuring: (1) Uniformity in precise time and time interval operations including measurements. (2) The establishment of overall DoD requirements for time and time interval. (3) The accomplishment of objectives requiring precise time and time interval with minimum cost. (b) In carrying out the above responsibilities, the Observatory shall: (1) Derive and maintain standards of time and time interval, both astronomi-cal and atomic. (2) Provide coordination of such standards with recognized national and international standards to insure worldwide continuity of precision. (3) Monitor conferences concerning time and time interval standards. (4) Advise and provide guidance to DoD Components, contractors, and scientific laboratories on matters concerning time and time interval, and their measurement. (c) All DoD Components which require, utilize, or distribute time and time interval information or have a need for a specific time scale shall: (1) Refer time and time interval to the standards established by the Observatory. (2) Maintain specific time scales such that relationship to the standard established by the Observatory is known. (3) Prescribe technical requirements for the coordination of techniques, procedures and periodic calibrations of systems. (4) Promote economy by prescribing requirements for precise time that are consistent with operational and research needs for accuracy. SUBCHAPTER N-COMMERCIAL INSURANCE ing the solicitation and purchase of life insurance. § 276.2 Applicability and scope. The provisions of this part apply to all DoD components and covers (a) insurers and agents electing to request the privilege of soliciting and selling life insurance on United States military installations worldwide and (b) the use of military allotments in payment of life insurance policy premiums. § 276.3 Responsibility. (a) Overall administration of the program. The Assistant Secretary of Defense (Manpower) (ASD(M)) shall be responsible for the administration of the provisions of this part and assure its effective implementation throughout the DOD. (b) Military departmental representation. Each Military Department will appoint a representative to advise and assist, as requested from time to time, on all matters pertaining to the DoD insurance programs. solicitation and sale of insurance on a military installation is a privilege, as distinguished from a right, the control of which is a responsibility vested in the installation commander subject to compliance with this part. (b) Sound life insurance underwriting and programming encouraged. A sound life insurance program suitably underwritten to meet the varying requirements of the individual is encouraged by the DOD. Accordingly, the conduct of such personal business on base is permitted where feasible, with disinterested third party counseling provided, interviewing hours set aside, and facilities supplied. However, the privilege of solicitation on military installations is conditioned upon the clear understanding that such permission in no wise constitutes endorsement of the insurer or the policies offered for sale. The DoD as a matter of continuing policy abstains from endorsing any seller or product. § 276.5 Supervision of solicitation. The Sec (a) Command supervision. retaries of the Military Departments will issue regulations to ensure that solicitation on military installations is properly supervised and controlled. (1) Regulations will hibitions against: include pro (i) The solicitation of recruits or trainees and "mass" or "captive" audiences; (ii) Practices involving rebates elimination of competition; or (iii) Military personnel on active duty representing insurers in any capacity, officially or unofficially, with or without compensation; (iv) The use of official identification cards to gain entrance to a military installation to solicit the sale of life insurance. (2) Solicitation will be on an individual basis, preferably by appointment, in (i) specific location(s), and (ii) at hours designated by the installation commander. (1) (b) Actions required of agents. Before being permitted to solicit, the agent will be required to examine a copy of the applicable insurance regulations and to indicate in writing that he understands them and that any violation of the regulations could result in the withdrawal of the privilege of solicitation for himself or the insurer he represents. (2) For each proposed sale to enliste personnel in the grades of E-1, E-2, ar E-3, the agent must provide the appl cant and the installation commander th following information in writing. (i) Name and address of the insure (ii) Name and address of the agen (iii) Type of policy (straight life, e dowment, term, other); (iv) Amount of life insurance; (vi) Full name of person(s) to insured and relationship; (vii) Death benefit, guaranteed cas value, extended insurance, pure endow ment (if any) at the end of the first the fifth years inclusive and the tent fifteenth and twentieth years; (viii) A statement that the policy wi contain no restrictions by reason military service or military occupationa specialty of the insured unless such re strictions are clearly indicated on th face of the policy (see § 276.9 (b)); an (ix) A clear statement that dividend are not guaranteed if the presentatio refers to dividends. (c) Counseling. (1) Commanders wi provide counseling for personnel unde their command concerning the purchas of life insurance; counseling is manda tory for personnel of pay grades EE-2, and E-3, and is encouraged for a others. (2) Counseling will be accomplished preferably by an officer; it is not ex pected that the counselor become technical expert but he will have avail able, as a minimum, the information developed under paragraph (b) (2) 0 this section, and possess copies and b familiar with, the contents of the "Arme Forces Life Insurance Handbook" (Dol Pam 6-9, DA Pam 355-118, NAVPERS 15917, AFP 34-1-7, NAVMC 1195), a prepared and published in cooperation with the Institute of Life Insurance (d) Installation regulations. Wher there is a need to prescribe more re strictive requirements than may b contained in the implementing servic regulations issued by the Military De partments, such additional requirements or restrictions must first be reviewed and confirmed by the cognizant Military Department. § 276.61 Use of the allotment system. (a) Allotments of military pay will be made in accordance with DoD Directive 1 Appears at § 276.8 at 29 F.R. 11357, Aug. 6 1964. 7330.1, subject: "Voluntary Military Pay Allotments," dated December 12, 1956, and the requirements of this section. (b) Allotment forms may not be issued to agents. The possession of allotment forms by agents is cause for withdrawal of the privilege of solicitation. (c) Applications for allotments will be authorized in payment of premiums for life insurance only under the following conditions: (1) For life insurance solicited on-base both the insurer and its agents must be licensed in the state in which the installation is located. (2) For life insurance solicited in foreign areas both the insurer and its agents must be accredited for on-base solicitation as prescribed in § 276.8. (3) For life insurance solicited by mail the insurer must be licensed in the state in which the allotter is stationed. The requirements of this paragraph (c) are waived for life insurance purchased prior to entry into service or as additional insurance coverage in a company which is receiving an allotment from the allotter. (d) The following requirements must be strictly complied with before allotIments of military pay may be authorized for personnel in pay grades E-1, E-2, and E-3: (1) At least seven (7) days must elapse between the signing of an insurance application and the certification of an allotment unless the first full monthly insurance premium has been paid for in cash. (2) Allotments will not be authorized in payment of premiums for life insurance purchased while in military service until the prospective buyer has been fully counseled as required by § 276.5(c). § 276.7 Requirements for insurers and agents for Department of Defense accreditation in the United States, its territories and the Commonwealth of Puerto Rico. (a) License requirements. Solicitation on-base by the representative of any insurer will not be authorized unless both the insurer and its agents are licensed in the state in which the installation is located. (Hereafter, throughout this part use of the word "state" as it pertains to political jurisdictions is defined to include the United States, its territories and the Commonwealth of Puerto Rico.) 99-171-69-34 (b) Insurers. Before an insurer may be accredited to solicit on a military installation a letter of application must be submitted to the commanding officer (with the understanding that a knowing and willful false statement is punishable by fine or imprisonment (18 U.S.C. 1001)) and signed by its President or Vice President: (1) Reporting the states in which the insurer is qualified and licensed to sell insurance; (2) Listing all policies, together with their form numbers, to be offered on the military installation; (3) Assuring that only the policies listed are to be so offered and that such policies meet the requirements listed in § 276.9; and (4) Including the name and complete address and telephone number of each agent who will solicit on the installation if approval is granted, state(s) in which licensed, the date(s) of licensing, expiration date(s) and a statement of agreement to report all future accessions and separations of agents employed for solicitation on the installation; further that the insurer assumes full responsibility for the acts of its agent(s) with respect to the solicitation and sale of life insurance to military personnel. (c) Agents. Agents may be accredited for the on-base solicitation of life insurance by the installation commander providing the application to solicit is made by an accredited insurer as defined in paragraph (b) of this section. § 276.8 Requirements for insurers and agents soliciting on United States military installations in foreign areas. (a) Insurers—(1) Applications filed annually. During the months of February and March of each year only, insurers may apply for solicitation privileges on U.S. military installations in foreign areas for the fiscal year beginning the following July 1 (2) Application instructions. Before an insurer may be accredited to solicit on a U.S. military installation in foreign areas the President or Vice President thereof must file a letter of application (with the understanding that a knowing and willful false statement is punishable by fine or imprisonment (18 U.S.C. 1001)) during the months of February or March, under the corporate seal of the insurer, to the Director for Civil Affairs, Office of the Assistant Secretary of Defense (Manpower), the Pentagon, Wash ington, D.C., 20301, containing information submitted in the following order: (i) Foreign countries and the commands (e.g. European Command, Pacific Command, etc.,) where it is desired to solicit on U.S. military installations. (ii) Management plan for the supervision and control of sales personnel, limited in numbers to one general agent (or company manager or director) and no more than 30 agents for each overseas area. If warranted, the number of agents may be further limited by the overseas command concerned. (iii) List of states and other jurisdictions in which the insurer is licensed and the effective and terminal dates of such licensing. (iv) A statement that the insurer has complied with or will comply with the applicable laws of the country or countries wherein it proposes to solicit (by "laws of the country" is meant all national, provincial, city or country laws or ordinances of any country, as applicable). Upon being authorized to do business in such country or countries, copies of such authorization (s) will be submitted to the Director for Civil Affairs, address as shown in this subparagraph. (v) An authenticated copy of the current annual statement as filed with the insurance department of the state of domicile. (vi) An authenticated copy of the most recently completed convention or "association type" report of examination if the insurer is licensed by more than one state, otherwise, a current report of one insurance department. (vii) A statement that the policies to be offered for sale: (a) Conform to the standards prescribed in § 276.9; (b) Do not contain other than standard provisions such as those prescribed by the Life Insurance Act of the District of Columbia (Chapters 3-8, title 35, District of Columbia Code). (viii) The amount of unassigned surplus and paid-up capital or only surplus if a nonstock company. In computing the amount of unassigned surplus, inIclude as liabilities all debts due or to become due, contingent or otherwise, as provided in the Act and a statement that the amount of unassigned surplus and paid-up capital has been computed by the method also prescribed in the Act. (ix) A statement that none of its officers, directors, or principal stockholders, or any member of their immedi ate families, receives or has any con tract to receive commissions, directly indirectly, from business currently trans acted by the insurer, or if the insure cannot so state, a disclosure and justif cation for such contracts. (For th purposes of this part, a stockholder wh owns directly or beneficially, in excess five percent of the total stock issued an outstanding shall be considered a prin cipal stockholder.) (x) A statement that the insurer ha not made any loan, secured or otherwis (except policy loans), to any directo officer or principal stockholder, or to an member of their immediate familie within the last year, and that there not currently outstanding any loan t such person made prior to that period. (xi) A statement that the insurer will (a) Be responsible for the acts of it agents with respect to the solicitatio and sale of insurance to military per sonnel; (b) Not utilize agents to solicit De fense personnel who do not possess off cial credentials authorizing solicitatio privileges on U.S. military installation in the applicable overseas area(s); (c) Not accept applications for lif insurance on the lives of military per sonnel from agents overseas, directly o indirectly (viz., by brokerage, sale, etc. who do not possess official credential authorizing solicitation privileges 0 U.S. military installations in the appli cable overseas area (s) ; and (d) Require the general agent (o company manager or director) to mak frequent checks to insure the stric enforcement of this requirement. (xii) A statement that the insure will, upon receipt of notification o accreditation, supply the applicabl major component commander (s) with the name, age, legal residence, citizen ship and present address of each agen who will solicit overseas, the state o states in which such agent(s) ar licensed, the date of licensing, expira tion dates, and the area in which each agent will solicit; except that the requirement for a state license will be waived, upon request made by the insure to the appropriate overseas commander for the accredited agent who has been continuously in foreign areas successfully selling life insurance and forfeits his eligibility for a state license because of no fault of his own but due, instead, to the operation of State law or regulation governing residence or domicile |