Veterans eligible for more Veterans’ Group Life Insurance (VGLI) coverage after the passage of a recent MOAA-backed law won’t receive the increase automatically, according to VA guidance released last month.
The maximum VGLI coverage increased to $500,000 from $400,000 after the passage of the Supporting Families of the Fallen Act on Oct. 17. It marked the first increase in the maximum coverage since 2005.
The change takes effect March 1, 2023. Individuals under 60 with $400,000 coverage will be able to purchase more coverage in $25,000 increments up to the $500,000 limit, according to a message from the VA to veterans service organizations. These individuals will receive mailed notifications of this coverage opportunity, per the message.
The legislation also raises the Servicemembers’ Group Life Insurance (SGLI) maximum to $500,000 as of March 1, 2023. VGLI is issued in $10,000 increments up to the amount of SGLI held by a servicemember at separation. Updated outreach materials for these separating servicemembers and veterans are set for release in February, according to the VA message.
Many of the VGLI materials available at VA.gov have not been updated to reflect this change. Individuals with VGLI coverage can contact the Office of Servicemembers’ Group Life Insurance (OSGLI) at (800) 419-1473 with more information.
Up-to-date VGLI premium rates are available at this link. Details on managing VA insurance policies online are available at this link.
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