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CNBC
29-04-2025
- Business
- CNBC
Best life insurance for veterans and active-duty military
If you're in the U.S. Armed Forces, you're offered life insurance from the Department of Veterans Affairs. But that coverage expires when you leave active duty and, in many cases, service members need to supplement it with coverage from the civilian market. Many providers are hesitant to cover military members, given the risks associated with service. CNBC Select has picked the best life insurance for active duty military and veterans, based on cost, coverage options, customer service, availability and other criteria. (See our methodology for more on how we made our selections.) Offers in this section are from affiliate partners and selected based on a combination of engagement, product relevance, compensation, and consistent offers a level term life insurance and whole life insurance policies payable for 20 years or until ages 65 or 100. Both include a terminal illness rider at no extra charge. Terms ApplyPacific Life offers term, permanent and no-exam life insurance, with an accelerated death benefit included at no charge. Terms Apply Term, whole, guaranteed acceptance Yes American Armed Forces Mutual Aid Association (AAFMAA) offers life insurance to active duty military, reserves, National Guard, veterans and eligible children and grandchildren. Both its guaranteed acceptance and final expense policy have $25,000 coverage limits. Who's this for? The American Armed Forces Mutual Aid Association, or AAFMAA, is one of only a few insurers that cover active-duty military personnel. Its level term plan is worth up to $800,000, with $10,000 in free coverage for any dependent children under 21. Standout benefits: AAFMAA's guaranteed acceptance supplemental policy, BeyondBasic, can be stacked on top of SGLI, with up to $100,000 of coverage. A 25-year-old non-smoker can buy BeyondBasic for as little as $9 a month. [ Click here for more on AAFMAA ] The best way to estimate your costs is to request a quote No Mutual of Omaha offers term, whole, indexed universal life and universal life policies Who's this for? Intended to cover a funeral and pay medical and legal bills, Mutual of Omaha's final expense policies have generous payouts and age requirements: Seniors up to age 85 (75 in New York) can be approved for a policy worth up to $25,000 without a medical exam. Standout benefits: Mutual of Omaha also offers long-term care insurance to applicants between the ages of 30 and 79, with a 15% discount for couples who enroll together. [ Click here for more on Mutual of Omaha ] Term, whole, universal, final expense Yes USAA has term life policies up to age 70 and $10 million in coverage and whole life policies up to 85 and $10 million. It also offers no-medical-exam plans worth up to $1 million and a final expense policy worth up to $25,000. Add-ons with whole life policies include a waiver of premium rider and up to $25,000 in coverage for a child. Who's this for? USAA has two flexible term life plans: A level term policy with the option to increase coverage at life milestones up to a maximum of $10 million and the no-exam Eagle Express plan, which offers same-day approval for up to $1 million to applicants between the ages of 18 and 60. Standout benefits: USAA will expedite the approval process if you're being deployed and, once you return, allow you to lower your coverage amount. [ Click here for more on USAA ] The best way to estimate your costs is to request a quote Yes Guardian offers a variety of policies, including term, whole and universal. Term life insurance can be converted into whole or universal life policies. Who's this for? While SGLI and VGLI only offer term life, Guardian has exceptional whole life insurance that builds cash value and comes with a host of optional endorsements, including riders for waiver of premium, guaranteed insurability, accelerated death benefit, guaranteed Insurability, accidental death and paid up additions. Standout benefits: Guardian is one of the few providers that lets you convert your SGLI, FSGLI or VGLI plan into a civilian policy without a medical exam. [ Click here for more on Guardian ] Term, whole Yes Navy Mutual's whole and term policies include an accelerated death benefit rider and coverage up to $1.5 million. There are no restrictions on military service, so active duty personnel and even those with a scheduled deployment can get covered. Term life policies are available for up to $1 million in coverage and come with guaranteed convertibility and a child benefit rider for up to $25,000 in coverage Who's this for? Accelerated death benefit riders, which allow you to receive a payout if you're diagnosed with a chronic or terminal illness, typically cost extra. But Navy Mutual includes it for free with both term and whole life policies. Standout benefits: Navy Mutual's whole life policies are available up to age 81 and term life up to age 76. [ Click here for more on Navy Mutual ] When you enlist, you're automatically issued Servicemembers Group Life Insurance (SGLI), a group term life policy worth up to $500,000. Your premiums are automatically deducted from your pay and SGLI remains in force up to 120 days after your release from duty. It can also be paired with Family Servicemembers' Group Life Insurance (FSGLI), which offers up to $100,000 of coverage for a spouse and free $10,000 coverage for any dependent children. After you're discharged, you can apply for Veterans' Group Life Insurance (VGLI), a term life policy with up to $500,000 in coverage that's available up to one year and 120 days after your separation. If you had less than $500,000 in coverage with SGLI, you can increase your VGLI death benefit annually by $25,000 until you reach the maximum or age 60, whichever comes first. Veterans with disabilities are eligible for VALife, a whole life policy that offers $40,000 in coverage to applicants up to age 80. VALife doesn't start to accumulate cash value for two years. Active military personnel are covered by SGLI, but they can also buy a life insurance policy on the private market. Service members can decide if they want coverage and how much the same way anyone else would, says Daniel Kopp, founder of Wise Stewardship Financial Planning and an Air Force veteran. 'Do other people depend on you for income? Do you have debts that may not be discharged in death, like private student loans or a mortgage?" Kopp said. "It's all about goal-based planning.' Service members do have some unique considerations, however: Many private insurance providers are wary of covering military members, especially someone with a scheduled deployment or who is stationed abroad. You may be charged higher rates or even refused coverage. Your best option is an insurance provider that caters to the needs of service members, like Navy Mutual, AAFMAA and USAA. In addition to SGLI, families of military personnel killed in the line of duty have access to a $100,000 death gratuity, college scholarships for their children and Social Security survivor benefits for their partner. "Day One of military separation or retirement, those benefits go away," Kopp said. "And your life insurance needs increase exponentially," Kopp said. You have 16 months after separation to enroll in VGLI, but you might consider a civilian policy instead, especially because the VA-backed plan isn't always the cheapest option. Unlike SGLI and VGLI, however, commercial insurers consider your health status during the underwriting process. Applicants are typically sorted into one of four risk classes: standard, standard plus, preferred and preferred plus. Veterans with minor or well-managed physical or mental health issues can still qualify for the standard risk class. "'If you can at least get into the standard risk class, nine times out of ten, it's going to be cheaper than VGLI," Kopp said. In his experience, VGLI is a better fit for veterans who would have difficulty getting accepted by a regular insurer due to a serious illness or disability. You might start thinking about buying a term or permanent life insurance policy when you're getting ready to transition into civilian life, but Kopp suggests doing it much earlier.'It's not only cheaper to get insurance when you're younger, but there are also fewer health impacts from ongoing military service," he said. You can convert your military policy into a civilian life insurance policy anytime, typically without a medical exam. (You may be asked questions about your health, but you're not required to answer.) Insurers that will convert SGLI or VGLI policies include: Before you convert your SGLI, Kopp advises considering the benefits that come with it: Surviving spouses can deposit SGLI death benefits and the $100,000 death gratuity into a Roth IRA. "It's a powerful planning tool that won't apply after a policy is converted," he said. And often, a converted policy isn't the cheapest option. "The conversion would be cost-prohibitive," Kopp said. Getting your own private life insurance policy as early as possible is likely the cheapest move, he added. If you have trouble getting approved because of an illness or disability, VGLI will still be cheaper than a converted policy, Kopp said. Dating to 1909, Mutual of Omaha issues life insurance in all U.S. states except New York and is a standout for customization, customer service and generous age restrictions. In addition to being one of CNBC Select's top picks for both long-term care insurance and disability insurance, Mutual of Omaha offers supplemental Medicare, mortgages and investment services. Policies: Term, whole, universal, indexed universal, guaranteed issue whole Online quotes for term life: No Limits for term life insurance: Up to $300,000 for term life express coverage [ Return to summary ] The American Armed Forces Mutual Aid Association, or AAFMAA, was founded in 1879 to support families of soldiers killed in the Battle of Little Bighorn. Today, it offers insurance policies, mortgages and wealth management services to current and former members of the armed forces and their families. Policies: Term, whole, universal, indexed universal, guaranteed issue whole Online quotes for term life: Yes Limits for term life insurance: $800,000 [ Return to summary ] USAA was founded as the United Services Automobile Association in 1922 by a group of Army officers. Most of its insurance products are reserved for active duty service members, veterans and their families. USAA life insurance, however, is available to anyone, regardless of affiliation. Policies: Term, whole, universal, final expense Online quotes for term life: Yes Limits for term life insurance: Up to $10 million [ Return to summary ] The second-highest-ranked provider on J.D. Power's 2024 life insurance survey, the Guardian Life Insurance Company of America also offers disability insurance and critical illness policies. Guardian has paid dividends to eligible policyholders annually since 1868, with a record $1.6 billion allocation in 2025. Policies: Term, whole, universal Online quotes for term life: Yes Limits for term life insurance: $5 million [ Return to summary ] Founded as the Navy Mutual Aid Association in 1879, Navy Mutual was originally only open to officers in the Navy and Marine Corps. Today, it offers life insurance and annuities to active duty service members and veterans from all branches of the military, as well as employees of the U.S. Public Health Service and the National Oceanic and Atmospheric Administration. Policies: Term, whole Online quotes for term life: Yes Limits for term life insurance: $1.5 million [ Return to summary ] While active duty military are automatically issued Servicemembers Group Life Insurance (SGLI), veterans must apply for Veterans' Group Life Insurance (VGLI), a term life policy with coverage of up to $500,000. VALife is a guaranteed acceptance whole life insurance plan for veterans with disabilities that pays out up to $40,000. Partners of active duty service members with SGLI policies are eligible for the Family Servicemembers' Group Life Insurance (FSGLI) plan, which provides up to $100,000 in term life insurance and comes with $10,000 coverage per dependent child. Your SGLI policy ends 120 days after your release from duty, but you can get Veterans' Group Life Insurance (VGLI), a term life policy with up to $500,000 in coverage. Money matters — so make the most of it. Get expert tips, strategies, news and everything else you need to maximize your money, right to your inbox. Sign up here. At CNBC Select, we work with experts who have specialized knowledge and authority based on relevant training and/or experience. For this story, we interviewed Daniel Kopp, founder of Wise Stewardship Financial Planning and a specialist in financial planning for active duty officers and surviving spouses. Kopp is the operations officer for the Military Financial Advisors Association and served nine years in the Air Force. At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every insurance review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of life insurance products. To determine the best life insurance for military members and veterans, we considered more than 10 life insurers, prioritizing those with features that help those who have served or are serving in the armed forces. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics. To determine the best life insurance for veterans and military families, CNBC Select reviewed dozens of providers, prioritizing companies with military-friendly policies, including those that were accessible across the U.S., those that would consider military members with an upcoming deployment and that offered guaranteed acceptance for veterans with significant health issues. We considered the amount and type of coverage each company offered, as well as the availability of riders like accelerated death benefits and conversion privileges. Providers that don't penalize active duty personnel with higher rates were weighed more favorably. We incorporated customer satisfaction ratings from J.D. Power, the National Association of Insurance Commissioners and the Better Business Bureau. We also considered CNBC Select audience data when available, such as general demographics and engagement with our content and tools. Based on that criteria, our picks for best life insurance for veterans and service members are:
Yahoo
06-03-2025
- Business
- Yahoo
What troops need to know about life insurance in 2025
Note: Whether it's health care, retirement benefits, family support and child care, VA benefits or other programs, getting smart about the rewards you have earned is worth your time. Although it is not yet clear to what extent federal cuts will affect DOD programs — including quality-of-life initiatives — these benefits were in place as of this writing. Visit this page for all of our latest coverage surrounding military and veteran pay and benefits. The Department of Veterans Affairs launched a new life insurance program in 2023, called VALife, to expand life insurance options for disabled veterans. Those eligible are veterans age 80 and younger who have a VA service-connected disability rating — even if the rating is 0%. There's no time limit to apply for this program after getting the disability rating. Veterans can get up to $40,000 in whole life insurance coverage, in $10,000 increments, and cash value that starts to add up two years after VA approves their application. The amount of the monthly premium depends on the veteran's age when they apply for the insurance as well as the extent of coverage. The premium will not increase as long as veterans keep the VALife policy. For example, a veteran who is 18 when applying for the policy will pay $43.60 per month for the maximum $40,000 worth of coverage. A veteran who is 41 when applying will pay $91.20 a month for that maximum coverage. Service members automatically receive Servicemembers' Group Life Insurance coverage of $500,000, although they can elect to decline or reduce that coverage. Currently about 2 million active duty, reserve and National Guard members are insured under SGLI, and pay a premium of $31 per month for $500,000 worth of coverage, which is deducted from their pay. But that premium will be reduced in spring 2025 to $26 a month. SGLI is group term life insurance. The reduction will be automatic and requires no action to get the new rate. The rate will change to 5 cents per $1,000 of insurance. The monthly premium includes $1 for Traumatic Injury Protection coverage (TSGLI). SGLI coverage is offered in increments of $50,000. The monthly premium is the same regardless of the service member's age or other factors. If active duty service members want to decline or reduce coverage, they can use the SGLI Online Enrollment System. Reservists with part-time SGLI coverage who want to reduce or decline their coverage should use Form SGLV 8286 and submit it to their personnel office. For the approximately 870,000 active duty spouses covered under the Family SGLI program, the premiums will also decrease between 11% and 22%, depending on the spouse's age, with an average discount of 13%. Dependent children are provided $10,000 worth of coverage, at no cost. Veterans who have insurance under the Veterans' Group Life Insurance, or VGLI, program, will also see a decrease in their premiums in the spring. The premiums will be reduced by between 2% to 17%, depending on the age of the veteran. The average decrease will be about 11%. About 450,000 veterans are insured under VGLI. There are certain time limits for purchasing VGLI policies after leaving the service, so troops need to do some cost comparisons before hanging up their uniform. SGLI coverage doesn't automatically carry over, and VGLI is more expensive than SGLI. More information about VA life insurance options is available at
Yahoo
27-02-2025
- Business
- Yahoo
Troops, veterans to see drop in life insurance costs
Service members, family members and veterans will see their costs for life insurance decrease effective July 1. For currently serving military members, the monthly premiums for Service Members' Group Life Insurance, or SGLI, coverage will decrease from 6 cents to 5 cents per $1,000. In addition to a monthly premium, service members also pay $1 per month for SGLI Traumatic Injury Protection coverage. For example, with the drop in premiums, a service member with the maximum SGLI coverage of $500,000 will now pay $26 per month — including the $1 for Traumatic SGLI — down from the current $31. All service members pay the same rate, regardless of age, with coverage available in increments of $50,000. The reductions are the result of the 'sound financial standing' of the insurance programs, according to the Department of Veteran Affairs, which administers the programs. The reductions will be automatic, meaning troops and veterans don't need to take any action. For spouses covered by Family SGLI, premiums will decrease by an average of 13%, ranging between 11% and 22%, according to the VA. Rates vary by the spouse's age. For example, premiums for a spouse under the age of 35 will drop from $4.50 to $4 per month for the maximum $100,000 of coverage. Premiums for spouses between the ages of 40 and 44 will drop from $7 to $6.20 per month. If the spouse is in the Defense Enrollment Eligibility Reporting System, or DEERS, the premium is automatically deducted from the service member's pay. If the spouse isn't in DEERS, the service member is still responsible for paying the premiums. Coverage for spouses is available in increments starting at $10,000. what troops need to know about life insurance in 2024 For veterans covered by Veterans Group Life Insurance, or VGLI, the decreases will average about 11%, with reductions ranging from 2% to 17%. VGLI premiums vary by age. However, unlike service members' rates, VGLI rates increase every five years as the veteran ages, starting at age 30. For veterans age 29 and younger, the monthly cost for $500,000 of coverage will be $30, a decrease of $5 from the current premium. For $100,000 of coverage, the cost will be $6 per month, down by $1. For veterans age 40 to 44, the monthly premium for $500,000 of coverage will drop by $10 to $70. Meanwhile, for those 80 and older, the monthly premium for $500,000 will decrease from $2,250 to $2,200. SGLI coverage doesn't automatically carry over after leaving the military. Everyone leaving the military with SGLI coverage qualifies to sign up for VGLI, with certain time limits. However, VGLI is more expensive than SGLI, so experts advise shopping around for other life insurance options. An advantage of VGLI is that those who sign up within 240 days of leaving the military don't need to prove they're in good health.
CBS News
12-02-2025
- General
- CBS News
Pittsburgh's Bill Strickland talks about his next chapter: "I'm going to try to change the planet"
PITTSBURGH (KDKA) - Bill Strickland grew up in a poor neighborhood of Pittsburgh and became a MacArthur Genius, turning his love for making ceramics into a youth arts center and vocational school and opening them around the world. Strickland recently retired from running the Manchester Bidwell Corporation on the North Side, but this isn't the end. In fact, it's the beginning of a new chapter, a start-up called the Strickland Global Leadership Institute, or SGLI. From the soothing sounds of a water fountain to the ample natural light from large windows to the beauty of art hanging on the walls and displayed in cases everywhere, it's clear that HOPE Center for Arts and Technology in Sharon, P.A. is special. "This is not your traditional vocational school or arts program," said Strickland. "This is the future, and when you're here, you're allowed to dream, and we are going to reflect that in everything that we do with you." One of Strickland's primary philosophies is that environment drives behavior. All 17 centers, modeled after the original, started in 1968 in Pittsburgh's Manchester neighborhood, are beautifully designed. "If you bring people into a facility that's dark and the pipes are leaking and there's no enthusiasm, that's what you get in terms of your student body. So we said now we're going to flip this thing on its head." Levi Freeman is in the 10-month Medical Assistant Training program at HOPE Center for Arts and Technology, or HOPE C.A.T., so he can further his career. He's going tuition free, all paid for by grants. "Right after graduating, I don't have to worry about starting my career and having that burden of all that debt of a four-year degree," Freeman said. From opportunities for new vocations to exposure to an art form for the first time, HOPE C.A.T. is transforming lives like those of the kids in a leadership program who met with Strickland when he visited the center. High school junior and HOPE C.A.T. art student Tessalyn Massey said, "It's been deeply inspiring for me and just ignited this love of ceramics and this love of sculpting that I have now." Strickland explained that the key is the center's beautiful environment, caring instructors, and culture of hope. He said, "Hope is the commodity that can change this conversation. I don't care if it's Pittsburgh or Westmoreland County or Sudan in Africa, that medicine works." There are now 17 centers like this with vocational and or youth arts training including five in Pennsylvania and three overseas, including one in Israel where Jews and Palestinians are taking classes together, being an example of the transformative nature of the centers. Strickland is confident Ireland will be the location for a new center a part of his next chapter with the SGLI, which has 3 goals, to work with communities to build new centers, to support the existing centers, and to open an academy to teach people how to start centers which could lead to exponential growth for generations to come. Strickland Global Leadership Institute President Anthony Cascione said, "We're here to take the wisdom of these 17 centers and help a community apply that and whatever makes sense in their community." Cascione says it all goes back to Strickland's original inspiration from his mom and his art teacher at Oliver High School in Pittsburgh who sparked his love of ceramics. At HOPE C.A.T. in the ceramics studio, you see Strickland's vision in practice, where the ethos of art is alleviating what he calls the "cancer of the human spirit", giving hope and opportunity to those who come here and spreading that hope to their community and beyond. Strickland said, "Rather than retire to the old age home, I decided, no, I'm going to try to change the planet one city at a time." In addition to SGLI starting, there's a documentary movie about Bill Strickland and the centers coming out soon. KDKA will keep you posted on when and where you can see it.
