Veterans Group Life Insurance - VGLI

AAA

DEFINITION of 'Veterans Group Life Insurance - VGLI'

A policy that pays cash to the beneficiaries of a deceased member of the armed forces who had completed his or her service. Veterans Group Life Insurance (VGLI) is for service members who have completed their service and wish to continue to have life insurance coverage carried over from their Service members Group Life Insurance (SGLI) policy. They have one year and 120 days from the date they become veterans to exercise this option, and VGLI is a renewable term policy.

INVESTOPEDIA EXPLAINS 'Veterans Group Life Insurance - VGLI'

VGLI offers many benefits not available in the private life insurance market. Premium rates are age-based only; they do not consider gender, tobacco use, job or recreational activities, all of which can increase premiums in the private market.


The policy does not terminate at a certain age (such as 65); it remains in force for as long as the policyholder pays the premiums. Also, veterans who apply to convert their SGLI to VGLI within the first 120 days after completing their service are not subject to a health review. Approval of the policy is not contingent upon being in good physical or mental health.

RELATED TERMS
  1. Group Life Insurance

    Life insurance offered by an employer or large-scale entity (i.e. ...
  2. Veteran's Administration

    A U.S. cabinet department that provides patient care, veterans' ...
  3. Life Insurance

    A protection against the loss of income that would result if ...
  4. Insurance

    A contract (policy) in which an individual or entity receives ...
  5. VA Loan

    A mortgage loan program established by the United States Department ...
  6. Noncancellable Insurance Policy

    A life or disability insurance policy that an insurance company ...
Related Articles
  1. Home & Auto

    A Look At Single-Premium Life Insurance

  2. Insurance

    Top 10 Life Insurance Myths

  3. Insurance

    How Much Life Insurance Should You Carry?

  4. Home & Auto

    The Unique Advantages Of VA Mortgages ...

Hot Definitions
  1. Turkey

    Slang for an investment that yields disappointing results or turns out worse than expected. Failed business deals, securities ...
  2. Conduit Issuer

    An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects ...
  3. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  4. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  5. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  6. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
Trading Center