What Is Veterans Group Life Insurance

Veterans Group Life Insurance is a federal term life insurance program that allows eligible veterans to continue life insurance coverage after Servicemembers Group Life Insurance ends. VGLI is administered by the Department of Veterans Affairs and governed by federal law, not state insurance law.

VGLI is designed to provide continuity of coverage for veterans who separate from military service and want to maintain life insurance protection without purchasing a private policy.

Who Is Eligible for VGLI

Most veterans who had SGLI coverage at the time of separation are eligible to apply for VGLI.

Eligibility generally includes:

Veterans separated from active duty

Members of the Ready Reserve or National Guard who previously carried SGLI

Veterans placed on the Temporary Disability Retirement List

Eligibility depends on separation status and timing. Certain Reserve and Guard members qualify under more limited conditions.

Converting SGLI to VGLI

VGLI coverage is not automatic. Veterans must affirmatively apply within a specific period after separation.

Key conversion rules include:

Veterans generally have one year and 120 days from separation to convert SGLI to VGLI

Applications submitted within the first 240 days do not require proof of good health

Applications submitted after day 240 may require evidence of insurability

Conversion requests submitted after the deadline are usually denied

Because conversion deadlines are strict, missed timelines are a common source of confusion later.

VGLI Coverage Amounts

VGLI coverage amounts range from $10,000 up to the amount of SGLI coverage in effect at separation, with a maximum of $400,000.

Veterans may elect lower amounts and may later increase coverage in increments, subject to program rules.

VGLI Premiums and Payment Rules

VGLI premiums are based on age and increase over time. Premiums must be paid regularly to keep coverage in force.

Important premium rules include:

Premiums increase every five years as the insured ages

Payments may be made monthly, quarterly, or annually

Coverage can lapse if premiums are not paid within the applicable grace period

Because premiums can become substantial later in life, some veterans reduce coverage amounts or experience payment difficulties.

Does VGLI Ever Expire

VGLI does not expire as long as premiums are paid when due. Coverage continues for life unless it lapses due to nonpayment or is canceled by the policyholder.

Beneficiary Designations Under VGLI

Veterans may name any person, trust, or entity as a beneficiary and may change beneficiaries at any time by submitting the proper designation form.

Important beneficiary rules include:

The most recent valid beneficiary designation controls payment

Divorce does not automatically remove a named beneficiary

State laws do not override federal beneficiary rules

Beneficiary designations should be reviewed periodically to ensure they reflect current intent.

Why VGLI Claims May Be Delayed or Denied

Although VGLI is intended to provide reliable coverage, claims may be delayed or denied for several reasons, including:

Alleged lapse due to missed premium payments

Missed conversion deadlines

Enrollment or eligibility disputes

Beneficiary designation issues

Competing claims by multiple parties

This fact sheet provides general background only. Claim specific rights and appeal options depend on the facts of each case.

If a VGLI Claim Has Already Been Denied

If a claim has been denied or significantly delayed, additional review may be required. Denied claims are governed by federal administrative procedures, and appeal rights are time sensitive.

Detailed information about denied VGLI claims, appeals, and beneficiary disputes is addressed separately on our Denied VGLI Claim page.

Frequently Asked Questions About VGLI

Does VGLI cover suicide?

Yes. VGLI generally covers death by suicide and acts of war.?

Does VGLI require a medical exam?

No medical exam is required if enrollment occurs within the initial conversion period. Later applications may require proof of good health.

Can VGLI coverage be reduced?

Yes. Veterans may reduce coverage amounts, which affects the benefit payable at death.

Free Case Evaluation Contact Us!

Written & Reviewed by Christian Lassen, Esq., Nationally recognized life insurance lawyer: 25 years experience, hundreds of millions recovered.  Quoted in The Wall Street Journal ( May 17, 2025).

Last reviewed: Dec 26, 2025 | Contact 800-330-2274