Veterans Group Life Insurance (VGLI)

What Is Veterans Group Life Insurance (VGLI)?

Veterans Group Life Insurance (VGLI) is for former members of the armed forces who wish to proceed the group life coverage they had while in active military service. A renewable term policy, this insurance pays cash to the beneficiaries of the veteran upon death.

Understanding Veterans Group Life Insurance (VGLI)

By opting for Veterans Group Life Insurance (VGLI), an ex-service person is technically carrying over their Servicemembers' Group Life Insurance (SGLI) policy, a type of term life insurance offered to members of the military during active service. They have one year and 120 days from the date they become veterans to exercise this option.

Veterans Group Life Insurance offers many benefits not available in the private life insurance market. Premium rates are age-based just and don't consider orientation, tobacco use, job, or sporting exercises — all factors that can increase premiums with private insurance policies. Furthermore, the policy doesn't terminate at a certain age, (for example, 65); it stays in force however long the policyholder pays the premiums.

VGLI offers $10,000 to $400,000 in life insurance benefits, in view of the amount of SGLI coverage the veteran had after leaving the military. The maximum amount of coverage a veteran may initially meet all requirements for is similar amount of coverage they had under their Servicemembers' Group Life Insurance.

Veterans might opt for lower levels of coverage, lessening them in $10,000 increases. Coverage can likewise be increased after enrollment by $25,000 at regular intervals. Be that as it may, the maximum benefit is capped at $400,000 until the veteran arrives at 60.

Qualification for Veterans Group Life Insurance

There are certain qualification requirements for veterans who need to apply for VGLI. Along with holding a SGLI policy, the candidate must be in somewhere around one year and 120 days from:

Being released from active duty, training, or order to duty in a period of 31 days or less
Being isolated, by retirement or release, from an assignment from the Ready Reserves or the National Guard
Having an assignment of the Individual Ready Reserves (IRR) or to the Inactive National Guard (ING) (Members of the United States Public Health Service Inactive Reserve Corps (IRC) are likewise remembered for this section.)
Being put on the Temporary Disability Retirement List (TDRL)

Veterans are likewise able to apply for VGLI coverage even assuming they had parttime Servicemembers' Group Life Insurance (as a member of the National Guard or Reserves) and they experienced an injury or disability while on duty — including direct heading out to and from duty — that precluded them for standard premium insurance rates.

Wellbeing Requirements for VGLI

Veterans who apply to switch their SGLI over completely to VGLI inside the initial 240 days in the wake of finishing their service are not subject to any kind of wellbeing survey or exam. Endorsement of the policy isn't contingent after being in great physical or mental wellbeing, as such. Assuming they join after the initial 240-day period, they need to submit evidence that they're healthy.

Special Considerations

VGLI offers various benefits — boss among them being its moderately low premiums rates (which were lowered even further as of April 1, 2021). All things considered, just like with most types of life insurance, every veteran actually must compare expected plans to determine what is the best life insurance policy for their unique circumstances.

In no less than 120 days of leaving service, you have the option to change over your current SGLI policy into a civilian one. Several commercial insurance transporters have special policies for ex-members of the armed forces.

You can likewise change a VGLI policy over completely to a commercial individual policy. Be that as it may, the conversion policy must be a permanent policy, for example, a whole life policy, and offered by a select group of transporters.

Features

Different benefits of VGLI incorporate low premiums and no requirement for a qualifying wellbeing exam (on the off chance that coverage is chosen inside a certain time span).
Veterans Group Life Insurance (VGLI) is a term policy for ex-members of the military that proceeds with the group coverage they had while in active service.
VGLI offers $10,000 to $400,000 in life insurance benefits, in view of the amount of coverage the veteran had after leaving the military.
Veterans have one year and 120 days from the date they leave the service to exercise this option.