If you’re currently serving in the U.S. military and are planning to transition back to civilian life, the government gives you the option to convert your Servicemembers’ Group Life Insurance (SGLI) to a renewable term life insurance policy from Veterans’ Group Life Insurance, or VGLI. This is an important decision that affects financial security for you and your family, so it’s important that you understand your choices—because you do have a choice.
First, let’s look at three key facts about VGLI:
- VGLI provides a maximum of $400,000 of insurance coverage. It is issued in $10,000 increments up to the amount of SGLI you had at the time of separation. If your needs have changed and you want more than $400,000 in coverage, VGLI may not be your best option.
- VGLI does not include any coverage for your family.
- If you convert to VGLI, you may experience a premium increase every five years.
As an alternative to VGLI, you can replace your SGLI by purchasing life insurance from a non-government provider, such as USBA. USBA is a not-for-profit association that has provided group life insurance to active and reserve service members, transitioning and retired veterans, along with family members, for more than 60 years.
Now let’s look at three reasons you should consider your life insurance options beyond VGLI:
- If you’re buying a home, have children headed to college or are responsible for aging parents, you may need more life insurance coverage than VGLI provides. USBA policies can provide combined protection of up to $750,000**.
- USBA offers lower Preferred Rates for those with a healthy lifestyle and reduced rates if you don’t use tobacco.
- You deserve to have choices. USBA offers you a choice of group Whole and Term life insurance policies to match your needs. You can also purchase group protection for your spouse and eligible children from USBA.
At USBA, we are dedicated to serving those who serve our nation by offering economical rates and great coverage options. For example, $100,000 worth of coverage starts at just $5.75 per month for our most popular 15 Year Group Level Term Life Insurance policy.* Another option you may want to consider if you are a dual-income family is our convenient TWO for ONE® life insurance policy.
Take a minute now to learn about the other features and benefits of USBA’s portable life insurance products and services. And remember, our coverage offers benefits that do not change due to transition, separation or retirement. USBA can even give you an instant quote for free!