Active duty servicemembers are entitled to various benefits, including life insurance. These benefits, while they are greatly beneficial to servicemembers and their families, can also be complicated processes when you want to make a change, or appeal a denial of benefits. Patriots Law Group has gone through this with our own families, and have since assisted servicemembers who were wrongly denied benefits. Below is a summary of the types of life insurance that servicemembers and veterans are entitled to.
If you believe you have been wrongly denied benefits Patriots Law Group is here to assist you.
Servicemembers Group Life Insurance (SGLI)
Active duty servicemembers are automatically insured under the SGLI for $400,000. Premiums are automatically deducted from the servicemember's pay. A servicemember can make changes to SGLI coverage, i.e. decline coverage, select a lesser amount, designate beneficiaries. At the time of separation from service, SGLI can be converted to either Veterans' Group Life Insurance (VGLI) or a commercial plan through participating companies. SGLI coverage continues for 120 days after separation at no charge. Coverage of $10,000 is also automatically provided for dependent children of members insured under SGLI with no premium required. A certain limited group of other individuals are entitled to SGLI, such as cadets in active training
Traumatic Servicemembers Group Life Insurance (TSGLI)
Another type of insurance is the TSGLI. It helps severely injured servicemembers through their time of need with a one-time payment. The amount varies depending on the injury, but it could be the difference that allows their families to be with them during their recovery; helps them with unforeseen expenses; or gives them a financial head start on life after recovery.
TSGLI is an insurance program that is bundled with SGLI and an additional $1.00 has been added to the servicemember's SGLI premium to cover TSGLI. After December 1, 2005, all servicemembers who are covered by SGLI are eligible for TSGLI coverage, regardless of where their qualifying traumatic injury occurred. However, TSGLI claims require approval. In addition, there is a retroactive program that covers servicemembers who sustained a qualifying traumatic injury while in theater supporting Operation Enduring Freedom, Operation Iraqi Freedom, or while on orders in a Combat Zone Tax Exclusion area from October 7, 2001 through November 30, 2005.
Family Servicemembers Group Life Insurance (FSGLI)
The final type of life insurance is the FSGLI, which provides up to $100,000 of life insurance coverage for spouses and dependent children, not to exceed the amount of SGLI the insured member has in force. FSGLI is a servicemembers' benefit, and the member pays the premium and is the beneficiary of the policy. If a servicemember drops his or her SGLI coverage, leave the military, or divorces the spouse, the spouse's policy can be converted to an individual policy of insurance within 120 days.
DISCLAIMER: The information above is for general informational purposes only. No attorney-client relationship is intended or created by this information. Each individual situation is different and therefore a formal in-person consultation is necessary before any specific advice may be relied upon as appropriate and accurate for a given situation. Please call Patriots Law Group at 301-952-9000 to set up a consultation if you wish to obtain specific legal advice you may rely upon. We serve clients anywhere in the world, with in-person consultations available at our Suitland, MD office — right next to Andrews Air Force Base — for clients in Maryland, Virginia, and Washington, D.C.