Question 1: Your disqualification applies only to UK. It cannot be enforced elsewhere. However, beware, because currently you do not hold a licence and are prevented from obtaining one in the UK. You may be able to obtain one in Germany � I�m not sure. But if you do not you will be open to prosecution for having no Driving Licence. (This is completely different to driving whilst disqualified).
You need to check the regulations in Germany. As well as this, your employer (The Army) may have a view if you are to drive any of their vehicles overseas.
A final word on Question One. You state that you were disqualified �through no faul of your own�. I don�t want to know the details, but some more inquisitive souls on AB may give you a harder time about this! (Cue: Norman?)
I don�t quite know how all of this relates to the title of your question(driving with no insurance) unless that is the offence for which you received your three year ban. If so, a three year ban for no insurance, incidentally, is a very hefty sentence so I assume something else was involved.
Question 2. You say only that your friend was pulled over and there is no indication that he has been reported for any alleged offence. Being pulled over will not appear on his driving record.