A bill to increase Servicemen's Group Life Insurance coverage to a maximum of $50,000, to liberalize coverage under the GI life insurance programs.

Increases the amount of coverage under the Servicemen's Group Life Insurance plan: (1) from $15,000 to $50,000 automatic insurance for any member of the uniformed service on active duty, active duty for training, or inactive duty training scheduled in advance by competent authority; (2) from $10,000 and $5,000 to $25,000 and $10,000 respectively, the amount of insurance coverage servicemen may elect in lieu of (1) above; and (3) from $15,000 and $10,000 to $50,000 and $25,000 respectively, the amount of insurance that may be elected subsequent to an initial waiver of all insurance.

Provides that the United States shall bear all cost attributable to the increase in the amount of insurance coverage made available by reason of this Act. Provides that the Administrator of Veterans' Affairs shall pay to any individual who after September 28, 1965, and before the effective date of this Act was a beneficiary of a Servicemen's Group Life Insurance policy: (1) $35,000 if the individual received, or was entitled to, the amount of $10,000 as such beneficiary; or (2) the amount of $5,000 if the individual received, or was entitled to, the amount of $5,000 as such beneficiary.

Provides that each policy of United States Government Life Insurance or National Service Life Insurance in force on the date of the enactment of this Act shall be deemed to have been issued in the amount of $50,000. Provides that the total expense for such increase shall be borne by the United States.

Provides that the Administrator shall pay to any individual who after June 27, 1950, and before the date of the enactment of this Act was a beneficiary of a United States Government Life Insurance or National Service Life Insurance policy an amount which shall be equal to $50,000 less the amount which such individual received, or was entitled to, as such beneficiary.

Authorizes necessary appropriations to carry out the purposes of this Act.