To amend title 38, United States Code, to authorize the termination of Servicemen's Group Life Insurance when premiums are not paid.

Terminates Servicemen's Group Life Insurance (SGLI) coverage for a member of the Ready Reserve 60 days after the date that the premium for such insurance coverage is due and unpaid. Requires SGLI termination to be made by written notice, effective 60 days after the date of such notice. Allows SGLI termination to be vacated if, before its effective date, the individual remits all amounts past due and demonstrates to the Secretary of the military department concerned that the failure to make timely remittance was justifiable.