WHEREAS, the primary responsibility for the effective implementation of Martial Law rests on the members of the Armed Forces of the Philippines, who are increasingly exposed to dangers to life and limb in their task of suppressing the activities of insurgents and lawless elements; and

WHEREAS, it is necessary to provide increased government insurance coverage for such members of the Armed Forces of the Philippines, as a measure of financial amelioration for their dependents, and to maintain their efficiency while performing their aforementioned task;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers in me vested by the Constitution as Commander-in-Chief of all the Armed Forces of the Philippines, and pursuant to Proclamation No. 1081, dated September 21, 1972, and General Order No. 1, dated September 22, 1972, as amended, do hereby order and decree that:

SECTION 1. Subject to such terms and conditions that may be agreed upon by the Government Service Insurance System or other insurance firms and the Chief of Staff, Armed Forces of the Philippines, including the rates of the insurance premiums, fifty percent (50%) of which shall be paid by each member of the Armed Forces of the Philippines and fifty percent (50%) by the Government as its counterpart premium contribution, and approved by the Secretary of National Defense, each member of the Armed Forces of the Philippines in the active service, including cadets of the Philippine Military Academy and the Philippine Air Force Flying School, probationary officers, trainees and draftees, shall be insured under an annual special group term coverage program, renewable annually thereafter, in an amount not exceeding P6,000 per member, in addition to the compulsory insurance for members of the Armed Forces of the Philippines by the Government Service Insurance System as provided by existing law.

SEC. 2. Such amounts as may be necessary for the Government's counterpart as herein provided are hereby appropriated out of funds in the National Treasury not otherwise appropriated; thereafter, such sums as may be required for the purpose shall be included in the annual appropriations of the Armed Forces of the Philippines.

This Decree shall take effect immediately.

Done in the City of Manila, this 22nd day of December, in the year of Our Lord, nineteen hundred and seventy-three.