Life insurance coverage for veterans and military members is provided through various programs and policies, ensuring financial security for their families in the event of their death. Some of these programs include:
- Servicemembers’ Group Life Insurance (SGLI): SGLI is a low-cost life insurance program for active-duty service members, reservists, and National Guard members. It provides coverage up to $400,000 and can be converted to Veterans’ Group Life Insurance (VGLI) after leaving the military.
- Veterans’ Group Life Insurance (VGLI): VGLI is a life insurance program for veterans who have left active duty or the reserves. It allows them to convert their SGLI coverage to a lifetime renewable term policy without the need for a medical examination. The coverage amount can be equal to or less than the amount of SGLI coverage they had while serving.
- Family Servicemembers’ Group Life Insurance (FSGLI): FSGLI provides life insurance coverage for the spouses and dependent children of servicemembers covered under SGLI. Spouses can be insured for up to $100,000, while dependent children are automatically covered for $10,000 at no additional cost.
- Servicemembers’ Group Life Insurance Traumatic Injury Protection (TSGLI): TSGLI is a rider to the SGLI policy that provides financial assistance to servicemembers who suffer a qualifying traumatic injury while on active duty. It offers a one-time, lump-sum payment that ranges from $25,000 to $100,000, depending on the severity of the injury.
- Service-Disabled Veterans’ Life Insurance (S-DVI): S-DVI is a life insurance program for veterans who have a service-connected disability. Eligible veterans can receive up to $10,000 in coverage; those who are totally disabled may also be eligible for additional coverage.
- Veterans’ Mortgage Life Insurance (VMLI): VMLI is a mortgage protection insurance program designed to help disabled veterans pay off their home mortgages in the event of their death. The coverage amount is equal to the outstanding mortgage balance, up to a maximum of $200,000.
- Military Death Gratuity: This is a one-time, tax-free payment of $100,000 provided to the surviving family members of servicemembers who die while on active duty or within 120 days of separation due to a service-related injury or illness.
Veterans and service members are now eligible for a $100,000 increase in the maximum life insurance coverage.
The Department of Veterans Affairs (VA) has increased the maximum coverage available under the Servicemembers’ Group Life Insurance (SGLI) program for eligible veterans and service members. The increase raises the coverage limit from $400,000 to $500,000, providing additional financial security for service members and their families.
SGLI is a low-cost, government-sponsored life insurance program for active duty, reserve, and National Guard service members. It provides coverage 24/7, regardless of whether the service member is deployed, at home, or on leave. Veterans who have left the service may also be eligible for Veterans’ Group Life Insurance (VGLI), which offers similar coverage.
The increase in coverage comes in response to feedback from service members and veterans, who expressed a need for more life insurance coverage to protect their families in the event of their death. The $100,000 increase will help ensure that families have the financial resources they need to maintain their quality of life, pay off debts, and cover expenses such as funeral costs, child care, and education.
Service members who wish to increase their SGLI coverage can contact their personnel office or update their coverage online through the SGLI Online Enrollment System (SOES). The increased coverage will come with a small increase in premiums, which will be automatically deducted from the service member’s pay.
For veterans who have left the service and are eligible for VGLI, they can apply for increased coverage by completing the necessary paperwork and submitting it to the Office of Servicemembers’ Group Life Insurance (OSGLI). Veterans need to be aware that there may be specific deadlines for applying for VGLI after leaving the service, so it’s crucial to apply promptly to ensure eligibility.
The increase in maximum life insurance coverage for veterans and service members is an essential step in providing financial security for military families. By offering more extensive coverage, the VA and the Department of Defense (DoD) acknowledge the sacrifices made by service members and their families and provide them with the protection they deserve.
In conclusion, the $100,000 increase in maximum life insurance coverage for veterans and service members is a significant development that will provide additional financial security for military families. This increase acknowledges the sacrifices made by these individuals and their families and helps ensure they have the necessary financial resources to face life’s challenges. Service members and eligible veterans should take advantage of this increased coverage by contacting their personnel office, accessing the SGLI Online Enrollment System, or submitting the necessary paperwork to the Office of Servicemembers’ Group Life Insurance.