VA introduces expanded access to life insurance for disabled Veterans

Insurance is foundational in family financial planning as 63% of adults protect their spouse, children, or other beneficiary. As a person ages, life insurance becomes more popular, but also more expensive or difficult to approve the later someone applies. Furthermore, either Veterans’ unique medical circumstances preclude them from qualifying for commercial policies; or they don’t qualify for VA life insurance options because they have exceeded the time period allotted to apply after being released from active duty.

 

In response to growing calls for VA life insurance to be available for more Veterans, Public Law 116-315 created a new program of insurance, Veterans Affairs Life Insurance program (VALI), for Veterans with service-connected disabilities. Beginning January 1, 2023, VALI will provide guaranteed acceptance whole life coverage of up to $40,000 to Veterans, age 80 and under, with service-connected disabilities. Some Veterans over the age of 80 may qualify.

 

Have questions? Check out some frequently asked questions and answers below or in PDF format online.

 

Jump to:

• Am I eligible for the VALI program?
• What type of coverage is available under the VALI program?
• How much life insurance coverage can I get?
• How do I get these benefits?
• How much will I pay for these benefits?
• Can I get a waiver so I don’t have to pay the premiums?

 

Am I eligible for the VALI program?

All Veterans age 80 and under who have a VA disability rating of 0 to 100 percent are eligible for the VALI program and have no time limit to apply. Veterans who are 81 or older and apply for VA Disability Compensation before age 81 and receive a rating for a new service-connected condition after turning 81 are also eligible if they apply within two years of their rating.

 

What type of coverage is available under the VALI program?

The VALI program will offer whole life guaranteed acceptance coverage. Under this type of coverage, the face amount of coverage takes effect two years after the date of enrollment as long as premiums are paid during the two-year period. This two-year waiting period replaces the need for medical underwriting.

 

How much life insurance coverage can I get?

The maximum coverage amount available will be $40,000 and may be elected in lesser increments of $10,000. Under this plan, the elected coverage takes effect two years after enrollment as long as premiums are paid during the two-year period.

 

How do I get these benefits?

VALI will take effect January 1, 2023. The application will become available on our website at

that time.

 

For more information about VA Life Insurance benefits, visit www.va.gov/life-insurance or call the VA Life Insurance Call Center at 1-800-669-8477 (Monday through Friday from 8:30 a.m. to. 6 p.m.