Military Life Insurance: What Veterans Should Know

Veterans and active military personnel face unique risks and challenges that make life insurance an important part of financial planning. Understanding the types of life insurance available, benefits specific to military service, and how to choose the right policy can help veterans protect their families and secure their futures.

This article provides key information veterans should know about military life insurance in 2025.

Types of Life Insurance for Veterans

1. Servicemembers’ Group Life Insurance (SGLI)

A low-cost term life insurance program for active duty members.
Offers coverage up to $400,000.
Automatically terminates 120 days after separation from service but can be converted.

2. Veterans’ Group Life Insurance (VGLI)

Available to veterans who had SGLI coverage.
Allows veterans to continue life insurance after leaving service.
Renewable for life with premiums based on age.

3. Service-Disabled Veterans Insurance (S-DVI)

For veterans with service-connected disabilities.
Provides up to $40,000 in coverage at low premiums.
Offers protection when other insurance might be unavailable.

4. Private Life Insurance

Many veterans also purchase private term or permanent life insurance policies.
Provides flexibility in coverage amount, duration, and beneficiaries.

Benefits of Military Life Insurance

Affordable Premiums: Government-sponsored plans like SGLI and VGLI offer competitive rates.
Guaranteed Issue Options: Some policies are available without medical exams, beneficial for those with service-related health issues.
Conversion Rights: Options to convert group coverage to private policies.
Financial Security: Protects families from income loss, debts, and final expenses.

Important Considerations for Veterans

Review Your Coverage: Don’t assume SGLI or VGLI fully meets your family’s needs—consider supplemental private insurance if necessary.
Check Eligibility: Know your rights and deadlines for applying to VGLI or S-DVI.
Understand Premium Changes: Premiums for VGLI increase with age, so plan accordingly.
Consider Additional Riders: Options like accelerated death benefits or disability waivers can add valuable protection.
Update Beneficiaries: Keep beneficiary designations current, especially after major life events.

How to Choose the Right Life Insurance as a Veteran

Assess your financial obligations and how much coverage your family needs.
Compare government-sponsored plans with private insurance options.
Consider health conditions and whether guaranteed issue policies are appropriate.
Work with an insurance agent experienced in military benefits.

Final Thoughts

Military life insurance offers veterans vital protection at affordable rates, but it’s important to understand your options beyond basic coverage. Combining government programs with private policies can create a comprehensive financial safety net for you and your loved ones.

Consult with a knowledgeable insurance advisor to tailor a life insurance plan that fits your unique military background and family needs.

Frequently Asked Questions

Q1: How long do I have to apply for VGLI after leaving service?
You have 240 days from your separation date to apply for VGLI without a medical exam.

Q2: Can I have both VGLI and private life insurance?
Yes, many veterans choose to supplement VGLI with private coverage.

Q3: Does SGLI cover combat-related deaths?
Yes, SGLI provides coverage regardless of cause of death, including combat.