Life Insurance Options for Air Force Personnel in 2025
Service members and veterans have several life insurance options, and it’s important to understand the benefits, costs, and eligibility requirements of each. Here’s a look at the key programs and changes in 2025.
VALife
The Department of Veterans Affairs (VA) launched a new life insurance program in 2023 called VALife to expand life insurance options for veterans. The eligibility criteria, features, and premiums are:
- Eligibility: Veterans age 80 and younger with a VA service-connected disability rating, even if the rating is 0%.
- Application Deadline: There is no time limit to apply after getting the disability rating.
- Coverage: Veterans can get up to $40,000 in whole life insurance coverage, in $10,000 increments.
- Cash Value: Starts accumulating two years after VA approves the application.
- Premiums: The monthly premium depends on the veteran’s age when applying and the coverage amount. It remains constant throughout the life of the policy.
- For example, a veteran who is 18 when applying will pay $43.60 per month for $40,000 coverage.
- A veteran who is 41 when applying will pay $91.20 a month for the same coverage amount.
Servicemembers’ Group Life Insurance (SGLI)
SGLI remains a crucial part of the life insurance landscape for active duty service members, with these key points:
- Automatic Coverage: Service members automatically receive $500,000 in coverage but can decline or reduce it.
- Coverage: Offered in increments of $50,000.
- Premium Reduction (Spring 2025): The premium will be reduced to $26 per month in spring 2025, a decrease from the current $31.
- Rate Change: The rate will change to 5 cents per $1,000 of insurance.
- TSGLI Included: The monthly premium includes $1 for Traumatic Injury Protection coverage (TSGLI).
- Declining or Reducing Coverage: Active duty members can use the SGLI Online Enrollment System. Reservists with part-time SGLI coverage should use Form SGLV 8286.
Family SGLI
For the approximately 870,000 active duty spouses covered under the Family SGLI program, premiums will also decrease between 11% and 22%, depending on the spouse’s age, with an average discount of 13%. Dependent children receive $10,000 in coverage at no cost.
Veterans’ Group Life Insurance (VGLI)
VGLI is also undergoing premium adjustments:
- Premium Decrease (Spring): Veterans with VGLI will see a reduction in premiums between 2% and 17%, contingent on the veteran’s age.
- Average Decrease: The average decrease will be about 11%.
- Coverage: Approximately 450,000 veterans have VGLI.
- Time Limits: There are time limits for purchasing VGLI policies after leaving the service.
- Comparison: Troops should compare costs before leaving service, as SGLI coverage does not automatically carry over, and VGLI is more expensive.
For additional information about VA life insurance options, visit the VA website.
