What happens to SGLI after you leave the military?
Short answer
Your SGLI continues free for 120 days after you leave the military, then it ends. To keep coverage, you can convert to Veterans' Group Life Insurance (VGLI). You have 1 year and 120 days after separation to apply, and there are no health questions if you apply within 240 days. VGLI matches up to your SGLI amount, with a $500,000 maximum, and lasts for life as long as you pay. Its premiums rise with age. Private coverage you own is the other option.
Leaving the service starts several clocks on your life insurance, and the most valuable one runs out at day 240.
The timeline after separation
| When | What happens |
|---|---|
| Days 1–120 | SGLI keeps covering you at no cost |
| Within 120 days | You can convert SGLI to a permanent individual policy with a participating insurer, without proof of good health |
| Within 240 days | You can apply for VGLI with no health review |
| Day 241 to 1 year + 120 days | VGLI is still available, but you have to submit evidence of good health |
| After 1 year + 120 days | The VGLI window closes |
If you’re totally disabled when you separate, you may qualify to keep SGLI free for up to 2 years under the disability extension.
How VGLI works
- Amount: $10,000 to $500,000, up to the SGLI amount you had when you left. If you start below the maximum, you can add $25,000 one year after you get VGLI and again every 5 years, up to $500,000 total, until age 60.
- Duration: for life, as long as you keep paying.
- Price: set by your age bracket and coverage amount. Premiums step up every five years of age and get much steeper later in life.
- Right now: eligible VGLI members owe no premiums from November 1, 2026, through January 31, 2027. Coverage continues during this premium holiday.
- Conversion: you can later convert VGLI to a permanent individual policy, such as whole life, at standard rates and without proof of good health, through a participating company.
If you have a service-connected disability rating
Look at VALife too. If you’re 80 or younger and have any VA service-connected rating, even 0%, you can get up to $40,000 of guaranteed-acceptance whole life. There’s no time limit to apply after you get your rating, and the premium never increases. The catch is a 2-year waiting period. If you die during those 2 years, your beneficiaries get back the premiums you paid, plus interest.
Where private coverage fits
Private term or whole life is a policy you own, priced on your own age and health. A level term policy locks its premium for the whole term, while VGLI’s price climbs every five years. Many veterans compare the two, and plenty end up with both: VGLI for guaranteed continuity, and private coverage sized to the mortgage and the family’s income needs.
One rule of thumb: if your health has changed in service, don’t let day 240 pass while you shop. Lock in VGLI first. You can always add a private policy or drop VGLI later.
We’re an independent agency, not affiliated with the VA or the Department of Defense. We’ll lay VGLI’s age-based pricing next to private quotes so you can see the difference. Veterans’ options · Military families · call 586-343-1505.
Sources: VA — Veterans’ Group Life Insurance (VGLI) · VA — Servicemembers’ Group Life Insurance (SGLI) · VA — Veterans Affairs Life Insurance (VALife)
Updated October 11, 2026. General information, not legal, tax or financial advice. United Eagles Financial is an independent life insurance agency, not an insurance carrier; coverage depends on carrier underwriting and state availability.