The Survivor Benefit Plan cost depends on the level of coverage you choose. Survivor Benefit Plan coverage is supplied at no cost while the military spouse is in active service. During your retirement, however, a monthly deduction is taken from retirement pay to pay for your Survivor Benefit Plan coverage.
Who will cover the cost of the Survivor Benefit Plan coverage is a matter to be agreed upon between the parties. If there is an agreement that the former spouse will cover all of the coverage costs, such an agreement between the member and former spouse is a matter between the member and the former spouse. There is no provision which permits the Defense Finance and Accounting Service (DFAS) to withhold all Survivor Benefit Plan premiums from a former spouse’s portion of a member’s retired pay.
If a former spouse is to be responsible for the cost of a member’s Survivor Benefit Plan coverage, the member must be reimbursed by the former spouse. In other words, the military spouse is automatically responsible for the cost of Survivor Benefit Plan coverage. If the parties agree that the former spouse shall be responsible for these costs, the parties must work together (rather than through DFAS) to figure out a reimbursement plan.