50 U.S.C. § 3975 — Policy restrictions

(a) Dividends While a policy^* is protected under this subchapter, a dividend or other monetary benefit under a policy must not be paid to an insured^* or used to purchase dividend additions without the approval of the Secretary of Veterans Affairs. If that approval is not obtained, the dividends or benefits must be added to the value of the policy to be used as a credit when final settlement is made with the insurer^*.
(b) Specific restrictions While a policy is protected under this subchapter, cash value, loan value, withdrawal of dividend accumulation, unearned premiums, or other value of similar character must not be available to the insured without the approval of the Secretary. The right of the insured to change a beneficiary designation or select an optional settlement for a beneficiary must not be affected by the provisions of this subchapter.