Military members have the option to convert their active-duty Servicemembers’ Group Life Insurance (SGLI) to Veterans’ Group Life Insurance (VGLI) after leaving the service.
What is Veterans’ Group Life Insurance?
VGLI is a life insurance program that allows service members to convert their SGLI coverage to term life insurance that is renewable every five years. Members with full-time SGLI coverage are eligible for VGLI when they leave the service. VGLI, like SGLI, is overseen by the Department of Veterans Affairs but administered by the Office of Servicemembers’ Group Life Insurance.
What Are VGLI Coverage Amounts?
VGLI coverage is issued in multiples of $10,000 up to a maximum of $500,000. However, a service member’s VGLI coverage amount can’t be more than the SGLI they had when they left the service.
Who Is Eligible for VGLI?
VGLI is available for:
- A service member who was on active duty for more than 30 days and had SGLI
- A member of the Ready Reserve who had SGLI and is being separated or released from drilling assignment
- A member assigned to the Individual Ready Reserve (IRR) or to the Inactive National Guard (ING) of a branch of service, or
- A member who had part-time SGLI and who, while performing duty (or traveling directly to or from duty), suffered an injury or disability that renders him/her uninsurable at standard premium rates
How Do I Apply for VGLI?
Within approximately 45 to 60 days following your separation from service, you should receive a VGLI application from the SGLI office.
You have one year and 120 days — approximately 16 months — from your date of separation from service to apply for VGLI. After this, you are no longer eligible for VGLI. There are different criteria for applying within 240 days (8 months) from your date of separation or after 240 days from your date of separation as noted below:
- If you submit a VGLI application within 240 days following separation from service, you just submit the application along with the first month’s premium. You do not need to provide evidence of good health.
- If you submit a VGLI application between 240 days and one year and 120 days after separation from service, you need to provide proof of good health and pay the first month’s premium with your application.
If you don’t get an application in the mail, you can apply for VGLI online.
When Are VGLI Premiums Due?
Once your VGLI application is approved, you will get a certificate of coverage, and you will begin receiving bills on a monthly basis (unless you are a retiree and choose to have the premium payments taken directly from your retirement pay).
Several options are available for the payment of premiums. For some of these options, the insured may benefit from a discount on premiums. Visit the VGLI website to get the latest premium and rate information.
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