Legislation requiring the government to regularly review and update VA-issued insurance coverage limits to ensure the plans keep pace with inflation and rising market costs passed the House last month, as lawmakers moved toward strengthening financial protections for military families.

The Fairness for Servicemembers and Their Families Act (H.R. 970) applies to both Servicemembers’ Group Life Insurance (SGLI) and Veterans’ Group Life Insurance (VGLI) coverage limits. Senators can show their support for this MOAA-backed, bipartisan legislation by cosponsoring a version in their chamber (S. 385).

[RELATED: Ask Your Senators to Support Servicemembers and Their Families]

“Our servicemembers put their lives on the line for their country, and we must secure the well-being of their families and loved ones in the event of a tragedy,” said lead sponsor Rep. Marilyn Strickland (D-Wash.) when speaking after the House passage of the bill.

SGLI Through the Years

The SGLI program provided up to $10,000 in coverage when it was first enacted in 1965, a figure which has increased over the years. The largest increase occurred in 2005, when the maximum coverage rose from $250,000 to $400,000.

In 2022, MOAA endorsed the Supporting Families of the Fallen Act led by Sen. Tommy Tuberville (R-Ala.) and Rep. Chip Roy (R-Texas), which boosted the maximum SGLI coverage from $400,000 to $500,000 starting March 1, 2023.

[RELATED: MOAAInsurance.com]

A brief history of SGLI coverage limits:

• 1965: $10,000
• 1970: $15,000
• 1981: $35,000
• 1986: $50,000
• 1991: $100,000
• 1996: $200,000
• 2001: $250,000
• 2005: $400,000
• 2022: $500,000

At first glance, there appears to be some regularity in the maximum coverage increases. However, it’s impossible to miss the 17-year gap between coverage increases at the end of the list.

Sen. John Cornyn (R-Texas) is leading the effort in the Senate.

“As the nation continues to feel the effects of inflation, we need to make sure servicemembers, veterans, and their families have the financial support they need and deserve,” Cornyn said. “Our bill would help ensure the Veterans Affairs Department can offer competitive life insurance packages that keep pace with the current cost of living.”

[RELATED: MOAA Leaders Meet With VA Secretary, Discuss Future of Veterans Care]

The Fairness for Servicemembers and Their Families Act would require the VA secretary to report to House and Senate Veterans’ Affairs Committees on cost-of-living increases and inflation rates every five years to ensure the department assesses inflation rates on a regular basis. This initiative will strengthen the financial safety net for servicemembers, veterans, and their families.

Add your voice using MOAA’s Legislative Action Center to urge the Senate to move swiftly and get this bill on the president’s desk and signed into law.