VGLI Life Insurance for Virginia Veterans: Rates & Enrollment

VGLI eligibility begins the moment a service member's Servicemembers' Group Life Insurance (SGLI) ends at discharge or separation from active duty, Reserve, or National Guard status. The 120-day conversion period allows former service members to apply for VGLI without medical underwriting, meaning no health examination or medical records are required—approval is automatic based on prior SGLI coverage. After this 120-day window closes, veterans may still apply but must submit medical evidence of insurability, which requires a detailed health history and may face delays or denial if health conditions emerge after discharge.

Service members must have had active SGLI coverage to be eligible for VGLI conversion. Coverage is available in increments of $10,000, from a minimum of $10,000 to a maximum of $400,000. Veterans can maintain VGLI until age 60, at which point coverage automatically terminates; however, the VA provides a 31-day period after age 60 to convert VGLI to Veterans' Mortgage Life Insurance (VMLI) if the veteran has an active VA-guaranteed home loan.

All discharge statuses are eligible except discharges characterized as dishonorable. Veterans discharged under general, other than honorable, bad conduct, or dishonorable conditions may face restrictions, but most general discharges qualify. Service members separated from active duty with less than 31 days remaining to the end of their enlistment period have limited VGLI eligibility; those with 31 or more days remaining at separation are fully eligible.

Spouses and dependents cannot be named as owners of VGLI, though the veteran can designate beneficiaries. The policy is individual coverage only and does not provide dependent life insurance riders. VGLI is a federal program with no income, asset, or service-length minimums beyond the discharge requirement.

VGLI premiums in 2024 are based on age and coverage amount. Rates are:

For coverage amounts of $10,000: — Age 29 and under: $11.75 monthly — Age 30–34: $12.50 monthly — Age 35–39: $13.25 monthly — Age 40–44: $15.50 monthly — Age 45–49: $20.00 monthly — Age 50–54: $28.75 monthly — Age 55–59: $43.75 monthly

Higher coverage amounts scale proportionally. For example, $20,000 coverage doubles the base rate. Maximum coverage of $400,000 is available but costs proportionally more. Premiums are reviewed and adjusted annually by the VA, typically with a cost-of-living adjustment (COLA). Veterans pay premiums monthly by check, electronic funds withdrawal, or credit card. There is no lump-sum payment option.

Virginia does not provide a state-specific supplement or enhancement to VGLI. Veterans' Group Life Insurance is a purely federal program administered by the Department of Veterans Affairs, and no state law creates additional insurance benefits, premium subsidies, or coverage options beyond what the VA offers nationally.

However, Virginia does offer other life insurance protections that may complement VGLI. Virginia law (Virginia Code § 34.33) provides a small death benefit—typically $5,000 to $25,000—to eligible surviving spouses and dependents through the Virginia Life and Health Insurance Guaranty Association if a private insurer becomes insolvent. This is a solvency protection, not a benefit addition.

Veterans in Virginia should also be aware that if they obtain a VA-guaranteed home loan, they become automatically eligible for Veterans' Mortgage Life Insurance (VMLI), a federal program that provides decreasing term insurance tied to the outstanding home loan balance. This is a federal benefit, not state-specific, but Virginia veterans with VA home loans can convert VGLI to VMLI at no additional underwriting once they turn 60 or if they prefer to do so earlier.

For additional veterans support in Virginia, the state operates the Virginia Department of Veterans Services and County Veterans Service Offices, which provide counseling on all federal benefits but do not administer insurance programs. These offices can help veterans understand VGLI options and the interaction between VGLI and other federal programs like VMLI or the GI Bill.

VGLI applications are rarely denied if submitted within 120 days of discharge without medical underwriting. However, denials and delays do occur, primarily for these reasons:

Missing or invalid discharge documentation is the most common cause. The VA requires a DD Form 214 (Certificate of Release or Discharge from Active Duty) or equivalent discharge paperwork. Applications without this document are rejected or delayed indefinitely. Veterans must obtain their discharge papers from the National Archives (www.archives.gov/veterans) or their state adjutant general's office if the original is lost.

Incorrect discharge characterization can trigger denial. Veterans with dishonorable discharges are ineligible; those with bad conduct discharges face scrutiny. If your discharge status is unclear, request a Character of Discharge review from the appropriate military branch's discharge review board before applying. General and honorable discharges are almost universally approved.

Applications submitted after the 120-day conversion period without medical evidence of insurability face higher denial risk. The VA requires a Statement of Health (health questionnaire) for late applications. Pre-existing conditions discovered during medical review—particularly serious heart disease, stroke, cancer, or uncontrolled diabetes—can result in denial or premium loading (higher rates). To build a stronger late application, obtain a private physician's letter confirming good health and stable medication management.

Incomplete or illegible forms cause processing delays and rejections. Ensure VA Form 211 is fully completed with correct legal name, Social Security Number, service dates, branch, and desired coverage amount. Illegible handwriting or missing beneficiary information triggers a request for resubmission, adding 2–4 weeks to processing.

Nexus issues are rare in VGLI but can arise if the veteran has a significant gap between discharge and application submission (beyond 120 days) and develops a disqualifying condition in that gap. The VA may argue the condition was not service-connected at discharge. Although VGLI does not require service connection, the medical underwriting process may reject applicants with conditions that appeared after separation.

VGLI denials are uncommon but can be appealed. The appeal process follows VA protocols with three lanes: Supplemental Claim, Higher-Level Review (HLR), and Board of Veterans' Appeals (BVA). Each has a one-year deadline from the date of the initial denial notice.

A Supplemental Claim is appropriate if new evidence has emerged since the initial denial—for example, a physician's letter confirming good health or updated medical records that contradict the reason for denial. This lane allows the same VA office that issued the denial to reconsider. Submit VA Form 20-0995 and include the new evidence. Processing time is 4–6 weeks. This is the fastest lane and recommended if you have new medical documentation or if the initial denial was based on missing paperwork that you can now provide.

A Higher-Level Review (HLR) is appropriate if the initial decision was clearly in error or if the evidence in the file does not support denial. You are not submitting new evidence; instead, you are asking a senior VA reviewer to examine the same evidence under closer scrutiny. Submit VA Form 20-0996. An HLR decision is issued within 90 days. HLR is a good choice if the initial denial appears to be a procedural error, such as incorrect beneficiary designation or misinterpretation of discharge status.

A Board of Veterans' Appeals (BVA) hearing is the most formal lane. File VA Form 10182 (Notice of Disagreement) to appeal to the BVA. This is recommended only after both a Supplemental Claim and HLR have been exhausted, or if you have entirely new evidence and a compelling legal argument. BVA decisions can take 6–12 months, making this the slowest option.

All appeals are free. The VA provides free representation through Veterans Service Organizations (VSOs) accredited by the VA. A VSO rep can submit your appeal and attend BVA hearings at no cost. Contact your Virginia county Veterans Service Office (www.dvs.virginia.gov) to request VSO representation. Do not hire a paid claims representative for VGLI appeals; this is prohibited and illegal.