Veterans Eligible For SGLI Life InsuranceService members Group Life Insurance is a Veterans' Administration program that offers group life insurance to members of the Uniformed Services at a low cost. This includes service members on active duty, ready reservists, members of the National Guard, members of the Commissioned Corps of the National Oceanic and Atmospheric Administration and the Public Health Service, cadets and midshipmen of the four service academies, and members of the Reserve Officer Training Corps. Unless they specify otherwise, members are automatically enrolled in SGLI life insurance at the maximum amount of 400,000 dollars. If they wish to decrease that amount, they may request to do so by 50,000 dollar increments. Until July 2008, SGLI life insurance premiums were 7 cents per 10,000 dollars worth of coverage, up to 29 dollars per month for the automatic maximum of 400,000 dollars in coverage. However, rates have just recently changed. As of July 2008, maximum benefit coverage now costs 6.5 cents per 10,000 dollars worth of coverage, up to 27 dollars per month for the automatic maximum of 400,000 dollars. These costs do still include a mandatory one dollar fee for TSGLI, and apply no matter the age of the service member. As of December 1, 2005, service member who are enrolled in the SGLI life insurance plans are also automatically enrolled in TSGLI. This is a rider which covers traumatic injuries such as the loss of a leg or arm. With this rider, the soldier will be paid 25,000 to 100,000 dollars depending on the severity of the injury and the service member's eligibility. The only way to decline enrollment in TSGLI is to decline enrollment in the SGLI life insurance program. SGLI life insurance is available for just the service member, but it is also available with family coverage. FSGLI provides up to a maximum of $100,000 of insurance coverage for spouses, not to exceed the amount of SGLI life insurance the insured member has in force, and $10,000 for dependent children. It is important to note that this affordable SGLI life insurance coverage is only for service members on active duty (including reservists). Once a service member retires or is released from service, he or she has the option to VGLI, or Veteran's Group Life Insurance. Under certain conditions, soldiers enrolled in the SGLI life insurance program have the option to convert their policy to a commercial insurance policy. This option is not available to everyone, but may be beneficial in some circumstances.
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