Veterans Score a Win: Life Insurance Premiums Just Got Cheaper

As of July 1, 2025, veterans and active-duty service members are now seeing lower monthly premiums on VA-managed life insurance programs — giving those who’ve served a small but meaningful financial boost.

This marks the first rate cut in over five years, affecting both Servicemembers’ Group Life Insurance (SGLI) and Veterans’ Group Life Insurance (VGLI) — two of the most widely used policies for service members, veterans, and their families.

What’s Changed …

According to the Department of Veterans Affairs, the SGLI monthly premium dropped from 6 cents to 5 cents per $1,000 of coverage beginning July 1st.

Let’s break it down:

• Maximum SGLI coverage: $500,000
• Previous monthly premium: $30
• New monthly premium: $25

That’s $60 in annual savings for full-coverage policyholders — a quiet but welcome financial win. VGLI policyholders are seeing similar reductions, based on their age and coverage level.

Source: VA.gov Announcement – Life Insurance Rates Reduced (2025)

Why This Matters for Disabled Veterans

For many disabled veterans, especially those living on fixed incomes or VA disability compensation, even small monthly changes like this can add up. Life insurance may not always be top of mind, but it’s a non-negotiable line item for veterans trying to ensure their loved ones are protected.

And the best part? There are no changes to coverage amounts or eligibility rules.

✅ You’re paying less for the same benefits
✅ No re-enrollment or reapplication is needed
✅ Your family’s long-term security stays fully protected

A Quick Refresher on SGLI and VGLI

• SGLI covers most active-duty service members automatically, unless declined.
• VGLI is an optional continuation of SGLI for those separating or retiring from service — no medical exam required if applied for within the enrollment window.

Both policies are affordable, renewable, and backed by the VA — often with fewer headaches than private-sector insurance plans.

Need to check your current status?

Head over to the VA Life Insurance portal or log in to your eBenefits account.

What Veterans Are Saying …

“This might seem small, but it’s another way the VA can show it’s listening. A lot of us live close to the edge — this helps.” ~ David S., disabled Marine Corps veteran

“I stayed with VGLI after retiring. Knowing my family is protected matters more thanever, and now it costs a bit less.” ~ Kelly R., Army veteran and single mom

What You Should Do Next

• Already enrolled?
  The new lower rate should already appear on your July bill.

• Thinking of enrolling?
  Now’s a great time — rates are down, and eligibility is unchanged.

• Review your policy:
  Check your SGLI or VGLI status online to make sure your info and beneficiary designations are current.

• Not covered by VA insurance?
  Compare your options — these policies are built specifically for veterans, with long-term value in mind.

Final Thoughts …

At a time when many veterans feel like benefits are under pressure or out of reach, this policy change is a rare bright spot — offering real savings, no strings attached.

Life insurance is more than just paperwork — it’s peace of mind. And now, for veterans across the country, that peace of mind costs just a little bit less.

Whether you’re on active duty, newly separated, or long retired, make sure you’re taking full advantage of this benefit. You earned it.