Servicemembers' Group Life Insurance (SGLI) & Veterans' Group Life Insurance (VGLI) coverages increase

Life insurance is an important benefit which provides income replacement, end of life costs and financial flexibility. Beginning March 1, service members and qualifying Veterans will have access to increased life insurance coverage of up to $500,000 under two programs: Servicemembers’ Group Life Insurance (SGLI) and Veterans’ Group Life Insurance (VGLI). This increase moves life insurance coverage more in line with the current cost-of-living.

SGLI increases for all service members-

SGLI provides low-cost, group-term, life insurance coverage to eligible service members. All active duty, guard and reserve service members eligible for SGLI will automatically receive the increased coverage. This includes those who previously declined coverage or elected a lesser amount. The SGLI premium rate remains the same, so service members will receive maximum coverage for $30 a month, plus $1 for Traumatic Injury Protection (TSGLI) coverage. Payments are automatically deducted from service members’ paychecks, so no action is needed for those keeping the increased coverage.

Service members who do not wish to have coverage or would like a reduced amount can make these elections online through the SGLI Online Enrollment System (SOES) on milConnect. If coverage is reduced or declined by March 31, service members will not be charged for the increased coverage amount.

VGLI members must elect additional coverage-

VGLI provides life insurance coverage to eligible Veterans after they separate from service. Current VGLI members will not have their coverage increased automatically. Eligible Veterans who currently have $400,000 of coverage under VGLI can elect to purchase additional coverage in $25,000 increments. This added coverage will be available without medical underwriting during specified coverage periods. The Office of Servicemembers’ Group Life Insurance (OSGLI) will send eligible VGLI members information about obtaining coverage.

Service members who separate with SGLI coverage of $450,000 or $500,000 on or after March 1 can convert coverage to VGLI in an amount up to or equal to the SGLI coverage they had at separation.

Additional Information-

Life insurance coverage is beneficial since it can help protect a family’s financial future. Coverage may be used to help pay off debt, cover funeral costs, pay for future education expenses, and replace lost income. Since family dynamics frequently change, it is important to review beneficiary information annually and ensure beneficiaries are aware of policy information in the event it is needed.

More information can be found online regarding SGLI increase frequently asked questions here: https://rly.pt/3mHxTtn