Life insurance for military personnel
Life insurance for military personnel

Life Insurance for Military Personnel

Life insurance for military personnel coverage is crucial for active duty service members because of the risk associated in the military.

Through Veterans Affairs, you can purchase Servicemembers’ Group Life Insurance (SGLI), which offers coverage up to $500,000. Some families, though, require greater protection.

Most of the time, being an active duty member does not automatically preclude you from purchasing private Life insurance for military personnel.

Private life insurance companies will assess your application based on your deployment status, job duties, station of duty, and geographic area. Here’s provide how to locate the top Life insurance for military personnel policy to safeguard your loved ones.

Military-provided Servicemembers’ Group Life Insurance

Life insurance for military personnel
Life insurance for military personnel

The SGLI program, which provides coverage in blocks of $50,000 up to a maximum of $500,000, is open to full-time military personnel.[1] In March 2023, the maximum coverage amount raised from $400,000 to $500,000.

Additionally, it has traumatic injury protection so that military personnel will be compensated in the event of an amputation, paraplegia, or blindness.

You can alter your policy as necessary, including the face value and beneficiaries as well as choosing to forego insurance coverage. After being discharged, you can decide whether to keep your SGLI or change to a civilian insurance policy.

Depending on your income, debts, and expenses, SGLI policies, like other group Life insurance for military personnel plans, may not provide your family with enough life insurance coverage.

To fill in any coverage gaps, we advise purchasing private life insurance.

Private Life insurance for military personnel

Life insurance for military personnel
Life insurance for military personnel

For active military personnel who want to get private life insurance, there are a few additional factors to take into account. The ideal life insurance coverage for you will depend on your responsibilities, rank, and station.

In addition, in order to apply for and buy a U.S. life insurance policy, you must be in the country.

Additionally, some insurers impose extra limitations on the plans they offer to service members.

For instance, some companies will take your SGLI coverage into account when assessing how much private life insurance you can purchase, but others won’t take it into account at all.

The individual policies of many of Policygenius’ life insurance partners do not contain restrictions that would nullify Life insurance for military personnel coverage if the insured died while on active duty, in battle, or during a period of war.

In this scenario, beneficiaries of military personnel will still receive death benefits.

Primary questions life insurance companies ask military personnel

When applying for life insurance, military members should be aware of knockout criteria, which are situations that could automatically exclude them from coverage. You should anticipate the following two knockout inquiries from an insurer:

Do you have deployment orders?Your application is more likely to be rejected if you’re deploying to a nation where the State Department has issued a warning or if you can’t reveal the location. You can still submit an application if your country of deployment is not on that list.

What is the name of your position and what are your responsibilities?You shouldn’t have any issues applying for an insurance if your job involves office work, recruiting, or any other non-life-threatening duties. However, you might not be approved for a private coverage if you are expected to be in conflict or if you are a member of Special Forces, Rangers, SEALS, Marine Force Recon, Marine Raiders, Delta Force, Air Force Pararescue, or a comparable force.

Even if you meet the knockout requirements, you won’t get accepted right away. You must still complete the entire application process in order to be covered, and your rank and the results of the underwriting procedure will determine your premiums and coverage limitations.

How does military rank affect your life insurance coverage?

Life insurance for military personnel
Life insurance for military personnel

Regardless of the military branch, certain insurance firms have specific coverage restrictions based on your rank. Each supplier has a different range of coverage limits.

Here is an illustration of coverage restrictions by military pay grade, with lower limits for enlisted personnel and higher limits for commissioned officers:

  • For pay scales E1 through E5, $250,000
  • 500,000 dollars for pay grades W1 to W5 and E6 to E9
  • O-1 to O-10 salary grades, $1,000,000

Your premiums will be more expensive and you’ll be more likely to be turned down for coverage if your chance of dying while covered by your Life insurance for military personnel is higher.

Because they are less likely to experience the same types of combat threats as lower-ranking service members, high-ranking officials are regarded as lesser risk.

Some insurers, though, will adhere to the same income restrictions that apply to civilians. Depending on your age, these rules allow you to purchase up to a specific multiple of your salary, such as up to 25 times your income if you are under 40.

When considering applications from Reserve or Guard members who are not notified or mobilized, insurers will use civilian income guidelines.

Special Forces, Rangers, SEALS, Marine Force Recon, Marine Raiders, Delta Force, Air Force Pararescue, and other like units are more likely to be rejected even if they don’t have active deployment orders, as was previously indicated.

Flat extras for pilots and aviation crew members

Due to the occupational risks involved, life insurance rates are typically higher for pilots. Military pilots and crew members must pay a flat additional price that ranges from $2 to $12 every $1,000 of coverage, much as civilian pilots.

Depending on the insurer, the tasks of the employment, the kind of aircraft being flown, and the missions, different amounts apply.

This implies that a military pilot with a $500,000 policy may need to spend $1,000 to $6,000 more annually for their policy.

Flight nurses and instructors are non-frontline aviation crew members who may receive flat extras as well, but they are unlikely to pay more than $2 for every $1,000 of coverage.