60 STAT.] 79TH CONG. , 2D SESS.-CH. 728-AUG. 1 , 1946 becoming due more than one year prior to the receipt in the Veter- ans' Administration of application for the same, except as herein- after provided. Any premiums paid for months during which waiver is effective shall be refunded. The Administrator shall pro- vide by regulations for examination or reexamination of an insured claiming benefits under this subsection, and may deny benefits for failure to cooperate. In the event that it is found that an insured is no longer totally disabled, the waiver of premiums shall cease as of the date of such finding and the policy of insurance may be con- tinued by payment of premiums as provided in said policy: Provided further, That in any case in which the Administrator finds that the insured's failure to make timely application for waiver of premiums or his failure to submit satisfactory evidence of the existence or con- tinuance of total disability was due to circumstances beyond his control, the Administrator may grant waiver or continuance of waiver of premiums: And provided further, That in the event of death of the insured without filing application for waiver, the bene- ficiary, within one year after the death of the insured or the enact- ment of this amendment, whichever be the later, or, if the beneficiary be insane or a minor, within one year after removal of such legal disability, may file application for waiver with evidence of the insured's right to waiver under this section. Premium rates shall be calculated without charge for the cost of the waiver of premiums herein provided and no deduction from benefits otherwise payable shall be made on account thereof." SEC. 8. Section 602 (p) of the National Service Life Insurance Act of 1940, as amended, is amended to read as follows: "(p) Such insurance may be made effective, as specified in the application, not later than the first day of the calendar month fol- lowing the date of application therefor, but the United States shall not be liable thereunder for death occurring prior to such effective date. Notwithstanding the foregoing provisions of this subsection, in any case in which prior to the date of enactment of the Insurance Act of 1946 application was made for insurance to become effective subsequent to the date of application and the applicant died in line of duty prior to the date such insurance was to become effective, the United States shall be liable to the same extent as it would have been if such insurance had been in force on the date of death of the applicant. Any payments of benefits made as a result of the enact- ment of the preceding sentence shall be made directly from the national service life insurance appropriation." SEC. 9 . Section 602 of the National Service Life Insurance Act of 1940, as amended, is hereby amended by adding at the end thereof the following new subsections: "(t) Insurance maturing on or subsequent to the date of enact- ment of the Insurance Act of 1946 shall be payable in accordance with the following optional modes of settlement: "(1) In one sum. "(2) In equal monthly installments of from thirty-six to two hundred and forty in number, in multiples of twelve. "(3) In equal monthly installments for one hundred and twenty months certain with such payments continuing during the remaining lifetime of the first beneficiary. "(4) As a refund life income in monthly installments payable for such period certain as may be required in order that the sum of the installments certain, including a last installment of such reduced amount as may be necessary, shall equal the face 80634--47 -PT . 1-50 785 Refunds. Examinations. Insured no longer totally disabled. Continuance of waiver. Death of insured without filing appli- cation. 54 Stat. 1011. 38U. 8 . C. §802 (p). Effective date of insurance. Liability of U. S . 54 Stat. 100 . 38U. 8. o. §802; Supp. V, ! 802. Ante, . 781 et eq.; post, p. 788 . Optional modes of settlement.