; and (B) the veteran pays the premiums required during such two-year period. (3) If a veteran dies during the two-year period described in paragraph (2), the Secretary shall pay to the beneficiary of the veteran the amount of premiums paid by the veteran under this section, plus interest. The Secretary shall calculate such interest at an annual rate equal to the weekly average one-year constant maturity Treasury yield, as published by the Board of Governors of the Federal Reserve System, for the calendar week preceding the date of the death. (d) Premiums (1) The Secretary shall establish a schedule of basic premium rates by age per $1,000 of insurance under subsection (a)(1) consistent with the lowest schedule of basic premium rates generally charged for guaranteed acceptance life insurance policies by private life insurance companies. The Secretary may adjust such schedule after the first policy year in a manner consistent with the general practice of guaranteed acceptance life insurance policies issued by private life insurance companies. (2) Section 1912 of this title shall not apply to life insurance policies under subsection (a)(1), and the Secretary may not otherwise waive premiums for such insurance policies. (e) Beneficiaries (1) A veteran who enrolls in the insurance program under subsection (a)(1) may assign a beneficiary of the life insurance policy. (2) If a veteran enrolled in the insurance program under subsection (a)(1) does not assign a beneficiary under paragraph (1) before the veteran dies, or if an assigned beneficiary predeceases the veteran, the Secretary shall determine the beneficiary in the following order: (A) The surviving spouse of the veteran. (B) The children of the veteran and descendants of deceased children by representation. (C) The parents of the veteran or the survivors of the parents. (D) The duly appointed executor or administrator of the estate of the veteran. (E) Other next of kin of the veteran entitled under the laws of domicile of the veteran at the time of the death of