Veterans Group Life Insurance (VGLI) |
VGLI is available to all service members leaving active duty. SGLI may be converted to VGLI up to the same amount of SGLI that the service member has in force at the time of separation or retirement. Acceptance is guaranteed if coverage is elected within 120 days of leaving the service with no proof of insurability required. Service members may apply for coverage for up to one year after leaving the service, but will be required to provide proof of insurability. |
Group Term Insurance Renewable at five year intervals with an increasing premium. No proof of insurability required if elected within 120 days of separation or retirement. Can be converted to commercial permanent insurance anytime up to amount of VGLI held. Cost varies according to age and amount of coverage. Accelerated Death Benefit Option provides up to 50% of the death benefit for the terminally ill with 9 months or less left to live. Free Beneficiary Financial Counseling services for one year through a professional financial planner.
Monthly Premiums for $400,000 Maximum Coverage under VGLI | Under 30 | 30+ | 35+ | 40+ | 45+ | 50+ | 55+ | 60+ | 65+ | 70+ | 75+ | $32 | $40 | $52 | $68 | $88 | $144 | $268 | $432 | $600 | $900 | $1,800 |
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Service-Disabled Veterans Insurance (SDVI) |
SDVI of $10,000 can be applied for by those with a service-connected disability. For those determined to be totally disabled, premiums can be waived and an additional policy of up to $20,000 is available. However, premiums for this additional insurance cannot be waived. |
What Happens To SGLI Benefits When Leaving The Service? |
Service members about to leave active duty have the option of replacing SGLI with Veterans Group Life Insurance (VGLI). Points to consider in making this decision include: |
- VGLI does not require proof of medical insurability, so service members who have any health situation that could result in denial by other insurers need to be sure of their insurability before declining VGLI. Retention on active duty with the uninformed services does not necessarily mean a service member is medically insurable.
- VGLI coverage is limited to the maximum of SGLI coverage held at release from active duty. In many cases, this is not enough insurance to replace the significant survivors’ benefit package which will terminate upon leaving the service.
- In many cases the amount of VGLI available is not enough to replace the survivor benefits package which will terminate upon leaving the service. Determine your individuals needs.
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