Who Collects Airforce Life Insurance: Daughter Or Son?

Servicemembers' Group Life Insurance (SGLI) offers low-cost term coverage to eligible service members. If you're a service member who meets certain criteria, you will be automatically signed up. You can get benefits such as coverage of up to $500,000, 120 days of free coverage from the date you left the military, and an extension of free coverage for up to 2 years if you are totally disabled when you leave the military. You can also choose your beneficiaries (the people you pick to get the money from your life insurance policy if you die) and change them as needed.

• Commissioned member of the National Oceanic and Atmospheric Administration (NOAA) or the U.S. Public Health Service (USPHS)
• Cadet or midshipman of the U.S. military academies
• Member, cadet, or midshipman of the Reserve Officers Training Corps (ROTC) engaged in authorized training and practice cruises
• Member of the Ready Reserve or National Guard, assigned to a unit, and scheduled to perform at least 12 periods of inactive training per year
• Volunteer in an Individual Ready Reserve (IRR) mobilization category | | SGLI coverage benefits | - Up to $500,000 of coverage in $50,000 increments
• 120 days of free coverage from the date you left the military
• Extension of free coverage for up to 2 years (if you're totally disabled) when you leave the military
• Part-time coverage (if you're a Reserve member who doesn't qualify for full-time coverage) | | How to get SGLI benefits? | If you qualify for SGLI, you'll be automatically signed up through your service branch. Check your unit's personnel office for more information. | | Can you make changes to your benefits? | Yes, you can choose your level of coverage, beneficiaries, and even refuse coverage completely. | | How to change your beneficiaries? | Submit your changes online through the SGLI Online Enrollment System (SOES). | | How much will you pay for these benefits? | The current basic SGLI premium rate is 6 cents per $1,000 of insurance coverage, including an additional $1 per month for Traumatic Injury Protection coverage (TSGLI). | | What happens when you leave the military? | When you leave the military, you can apply for Veterans' Group Life Insurance (VGLI) within 1 year and 120 days from your discharge for up to the amount of coverage you had through SGLI. | | Can you convert your SGLI policy into a civilian policy? | Yes, within 120 days from the date you left the military. | | Can you get a free extension of your SGLI coverage if you're disabled when you leave the military? | You may be able to keep your coverage for up to 2 years after leaving the military if you're totally disabled at the time of discharge and unable to work, or if you've had certain conditions like total loss of hearing or permanent loss of use of both hands, feet, or eyes. | | What forms would your family member need in case of your death? | To receive an insurance payment, a family member would need to file a Claim for Death Benefits (SGLV 8283). | | Who owns a life insurance policy taken out on a child? | In most cases, the policy owner is the parent or grandparent, even if the child is the insured person. The child typically doesn't have legal rights to the policy, even as an adult. | | Can the policy owner transfer ownership to the child? | Yes, some companies transfer ownership to the child when they reach the age of majority (typically 21), and some do so earlier. The owner is not legally obligated to transfer ownership but may choose to do so. |

Eligibility for Servicemembers' Group Life Insurance (SGLI)

Servicemembers' Group Life Insurance (SGLI) is a program that offers low-cost term coverage to eligible service members. If you meet certain criteria as an active service member, you will be automatically signed up for SGLI.

Eligibility for Servicemembers Group Life Insurance (SGLI)

You may be eligible for full-time SGLI coverage if you meet at least one of the following requirements:

• You are an active-duty member of the Army, Navy, Air Force, Space Force, Marines, or Coast Guard.
• You are a commissioned member of the National Oceanic and Atmospheric Administration (NOAA) or the U.S. Public Health Service (USPHS).
• You are a cadet or midshipman of the U.S. military academies.
• You are a member, cadet, or midshipman of the Reserve Officers Training Corps (ROTC) engaged in authorized training and practice cruises.
• You are a member of the Ready Reserve or National Guard, assigned to a unit, and are scheduled to perform at least 12 periods of inactive training per year.
• You are a volunteer in an Individual Ready Reserve (IRR) mobilization category.

If you are in nonpay status with the Ready Reserve or National Guard, you may still be eligible for full-time SGLI coverage if you meet both of the following requirements:

• You are scheduled for 12 periods of inactive training for the year.
• You are drilling for points rather than pay. Note that you must pay your premiums directly in this case.

Benefits of SGLI

SGLI provides a range of benefits to eligible service members, including:

• Coverage up to a maximum of $500,000, in $50,000 increments.
• 120 days of free coverage from the date you left the military.
• Extension of free coverage for up to 2 years if you are totally disabled when you leave the military.
• Part-time coverage if you are a Reserve member who doesn't qualify for full-time coverage.

Managing Your SGLI Coverage

If you are eligible for SGLI, you will be automatically signed up through your service branch. You can then manage your coverage and beneficiary information through the SGLI Online Enrollment System (SOES). You can choose your level of coverage or even refuse coverage completely. You can also choose your beneficiaries (the people who will receive the money from your life insurance policy if you die) and change them as needed.

SGLI coverage and benefits

Servicemembers' Group Life Insurance (SGLI) is a low-cost term insurance policy for eligible active-duty service members. The government automatically provides SGLI coverage and deducts premiums from the service member's pay. However, individuals can choose to decline this coverage and opt for a different policy through a commercial life insurance company or nonprofit organisation.

Eligibility

To be eligible for full-time SGLI coverage, an individual must meet at least one of the following requirements:

• Active-duty member of the Army, Navy, Air Force, Space Force, Marines, or Coast Guard
• Commissioned member of the National Oceanic and Atmospheric Administration (NOAA) or the U.S. Public Health Service (USPHS)
• Cadet or midshipman of the U.S. military academies
• Member, cadet, or midshipman of the Reserve Officers Training Corps (ROTC) engaged in authorised training and practice cruises
• Member of the Ready Reserve or National Guard, assigned to a unit, and scheduled to perform at least 12 periods of inactive training per year
• Volunteer in an Individual Ready Reserve (IRR) mobilisation category

In addition, individuals in nonpay status with the Ready Reserve or National Guard may be eligible for full-time SGLI coverage if they meet both of the following requirements:

• Scheduled for 12 periods of inactive training for the year
• Drilling for points rather than pay

Benefits

SGLI provides several benefits, including:

• Coverage up to $500,000 in $50,000 increments
• 120 days of free coverage from the date of leaving the military
• Extension of free coverage for up to 2 years if the individual is totally disabled when they leave the military
• Part-time coverage for Reserve members who don't qualify for full-time coverage
• Traumatic Injury Protection (TSGLI) coverage, which provides financial assistance to members so their loved ones can be with them during their recovery from traumatic injuries

Cost

The current basic SGLI premium rate is 6 cents per $1,000 of insurance coverage, with an additional $1 per month for TSGLI coverage. For example, for $400,000 worth of coverage, the monthly premium is $25.

Changes to Coverage

Individuals can choose their level of coverage or even refuse coverage completely. They can also choose their beneficiaries and change them as needed. Any changes to beneficiaries or coverage can be submitted online through the SGLI Online Enrollment System (SOES).

Choosing beneficiaries

• Understanding Eligibility: Before selecting your beneficiaries, it's important to understand the eligibility criteria for receiving benefits. Typically, beneficiaries can include family members such as a spouse, children, or other dependents. In some cases, you may also be able to choose other individuals outside of your immediate family. Review the guidelines provided by the Servicemembers' Group Life Insurance (SGLI) or Veterans' Group Life Insurance (VGLI) to ensure your chosen beneficiaries meet the eligibility requirements.
• Selecting Primary and Contingent Beneficiaries: When designating beneficiaries, you can choose primary beneficiaries who will receive the benefits first. Additionally, it's a good idea to name contingent beneficiaries, who will receive the benefits if the primary beneficiaries are unable or unavailable. This adds a layer of security and ensures that your benefits are received by the right people.
• Regularly Reviewing and Updating: Life circumstances can change, and it's important to keep your beneficiary designations up to date. Periodically review your selections and make changes as needed. Major life events, such as marriage, divorce, birth of children, or death, may impact your choices. You can update your beneficiaries by submitting changes through the SGLI Online Enrollment System (SOES).
• Considering Special Circumstances: If you have specific wishes or concerns, make sure to take those into account when choosing your beneficiaries. For example, if you want to provide for a child's education or support a family member with special needs, you can tailor your beneficiary selections accordingly. Seek guidance from a financial advisor or legal professional if you have unique circumstances to consider.
• Communicating Your Decisions: It's a good idea to communicate your choices to your beneficiaries and explain your reasoning. This can help avoid confusion or disputes later on and ensure that your wishes are understood and respected. Open communication can also help your beneficiaries prepare for any responsibilities they may have in managing the benefits they receive.

Remember, choosing beneficiaries is a personal decision, and you should select individuals who you trust and who align with your goals for the life insurance benefits. Take the time to carefully consider your options and seek professional advice if needed to ensure your choices reflect your intentions.

Premium rates

The premium rates for Servicemembers’ Group Life Insurance (SGLI) depend on the level of coverage chosen. The current basic SGLI premium rate is 6 cents per $1,000 of insurance coverage. This includes an additional $1 per month for Traumatic Injury Protection coverage (TSGLI).

| Coverage Amount (in $) | Monthly Premium Rate (in $) | TSGLI Premium (in $) | Total Monthly Premium Deduction (in $) |

| $500,000 | $30.00 | $1.00 | $31.00 |

| $450,000 | $27.00 | $1.00 | $28.00 |

| $400,000 | $24.00 | $1.00 | $25.00 |

| $350,000 | $21.00 | $1.00 | $22.00 |

| $300,000 | $18.00 | $1.00 | $19.00 |

| $250,000 | $15.00 | $1.00 | $16.00 |

| $200,000 | $12.00 | $1.00 | $13.00 |

| $150,000 | $9.00 | $1.00 | $10.00 |

| $100,000 | $6.00 | $1.00 | $7.00 |

| $50,000 | $3.00 | $1.00 | $4.00 |

It is important to note that SGLI offers low-cost term coverage to eligible service members. If you are a service member who meets certain criteria, you will be automatically signed up for SGLI. You may be eligible for full-time SGLI coverage if you are an active-duty member of the Air Force or other specified military branches.

Additionally, children's life insurance policies typically have lower coverage amounts, usually ranging from $5,000 to $50,000. These policies often offer fixed premium rates that remain unchanged over time, providing an opportunity to secure low premiums.

Applying for Veterans' Group Life Insurance (VGLI)

Veterans' Group Life Insurance (VGLI) is a life insurance program that allows service members to convert their Servicemembers' Group Life Insurance (SGLI) coverage to term life insurance that is renewable every five years. Here is a step-by-step guide on applying for VGLI:

Eligibility:

First, confirm your eligibility for VGLI. You may be eligible if you meet at least one of the following requirements:

• You had part-time SGLI as a member of the National Guard or Reserve and suffered an injury or disability while on duty that disqualified you for standard premium insurance rates.
• You had SGLI while you were in the military and you're within 1 year and 120 days of being released from an active-duty period of 31 or more days.
• You're within 1 year and 120 days of retiring or being released from the Ready Reserve or National Guard.
• You're within 1 year and 120 days of assignment to the Individual Ready Reserve (IRR) or the Inactive National Guard (ING). This includes members of the United States Public Health Service Inactive Reserve Corps (IRC).
• You're within 1 year and 120 days of being placed on the Temporary Disability Retirement List (TDRL).

Application Process:

You can apply for VGLI in one of two ways:

• Online: You can apply through the Office of Servicemembers' Group Life Insurance (OSGLI) using the Prudential website.
• Mail or Fax: Download and fill out the Application for Veterans' Group Life Insurance (SGLV 8714) and send it to the following address: OSGLI, PO Box 41618 Philadelphia, PA 19176-9913.

Timing:

It's important to note that you have one year and 120 days (approximately 16 months) from your date of separation from service to apply for VGLI. If you apply within 240 days of leaving the military, you won't need to provide evidence of good health. However, if you apply after this 240-day period, you'll need to submit proof that you're in good health along with your application.

Coverage Amounts:

VGLI coverage is issued in multiples of $10,000, with a maximum of $500,000. The amount of your VGLI coverage cannot exceed the SGLI coverage you had when you left the service.

Premiums:

VGLI premium rates are based on your age and the amount of insurance coverage you choose. Once your VGLI application is approved, you will receive a certificate of coverage, and billing will begin on a monthly basis unless you choose to have premium payments deducted directly from your retirement pay.

Frequently asked questions