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Life Insurance for Veterans

Individuals serving in the U.S. Marines, Army, Air Force and Coast Guard are guaranteed life insurance benefits through Servicemember's Group Life Insurance (SGLI). However, once they leave the armed services, they lose this coverage and must replace it with another policy.

Two veterans hugging

Veterans' Group Life Insurance

Veterans' Group Life Insurance allows service members to continue their life insurance coverage after they separate from service.

To be eligible for VGLI, one must apply within one year and 120 days of their:

  • Release from active duty or training
  • Assignment to the Individual Ready Reserves of any branch of service or the Inactive National Guard
  • Separation, retirement or release from the National Guard or Ready Reserves
  • Placement on the Temporary Disability Retirement List

Veterans who covert their SGLI coverage to VGLI coverage within 240 days of discharge do not have to pass a medical exam or provide health information on their application. Service members who apply for VGLI after this 240 day period can be denied VGLI coverage or be required to pay a higher premium. 

As long as the premiums are paid, VGLI provides lifetime coverage.

VGLI Details

  • Premium rates are based on age
  • Premium rates are the same regardless of gender
  • Premium rates are the same for smokers and non-smokers
  • The policyholder can choose to pay premiums on a monthly, quarterly, semiannual or annual basis
  • Policyholders who choose to pay annually receive a 5% premium discount
  • VGLI has no enrollment or membership fees
  • There is no waiting period between when a policyholder's coverage begins and when a claim will be paid
  • There is no suicide exclusion
  • There is no war clause

Disadvantages

Although VGLI rates are generally affordable for younger veterans, it can become expensive later on since the only factor determining VGLI premiums is age. Additionally, VGLI only offers term life insurance and does not build cash value.

Note: Other military insurers include American Armed Forces Mutual Aid Association (AAFMAA) and USAA. Both of these insurers offer life insurance to healthy older veterans.

Private Life Insurance

Veterans Group Life Insurance is not the only option available to veterans, and it may be possible to find a private life insurance policy with a more affordable premium. Choosing a private insurance policy also gives one the freedom to purchase a whole life policy rather than a term life policy if they so choose. 

Speak With an Agent

It's always a good idea to speak with a licensed insurance agent when searching for the right life insurance policy. Speak with an agent now at 1-855-303-4640

*Applications for insurance may be subject to acceptance by insurer. Rates and coverage amounts will depend upon the carrier selected.

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