VA Debuts New Life Insurance Program

A new life insurance program for veterans has been introduced by the Department of Veterans Affairs. It will start on January 1, 2023. All veterans who are 80 years of age or younger and have a condition related to their service will be eligible for this program, called VALife, which was announced on Wednesday. The VA claims that its insurance will be more affordable than comparable civilian options.

VA Secretary Denis McDonough said in a press release: "All Veterans should have the assurance that their families would be supported financially in the event of their passing. Making that goal a reality is made possible in large part by VALife, which enables VA to offer more Veterans life insurance than at any other time in our country's history."

Describe VALife.

All veterans under the age of 80 with service-connected impairments of at least 0% are eligible for up to $40,000 in whole life insurance under the VALife program. It is guaranteed that you will be accepted into the program; a medical exam is not necessary. Veterans must pay premiums to acquire a whole life policy through the VALife program, and payouts are restricted for the first two years the policy is in force.

The Johnny Isakson and David P. Roe, M.D. Veterans Health Care and Benefits Improvement Act, a piece of legislation that was passed and became effect in January 2021, is responsible for the new insurance policy. The statute set forth the beginning date, requirements for eligibility, and dollar amounts of coverage.

Who Qualifies for Validity?

The VALife program is open to any disabled veterans who are 80 years of age or younger. Within two years of a new disability rating, applicants must be 81 years of age or older. Veterans who have a disability rating of 0% or higher are eligible for the program.

Veterans who are now covered by the Service-Disabled Veterans Insurance (S-DVI) program have until 2023 to decide whether to keep it or convert to VALife. On January 1, 2023, the S-DVI program will stop accepting new applications.

If they are otherwise qualified, veterans who are currently enrolled in Veterans' Group Life Insurance (VGLI) or Veterans' Mortgage Life Insurance (VMLI) may preserve their current coverage and add VALife.

Information about the VALife Program

Policies with coverage limits ranging from $10,000 to $40,000 in $10,000 increments are available through the VALife program.

A whole life policy is VALife. Only the total of the premiums paid plus interest will be given to the beneficiary if the policyholder passes away within the first two years. It takes at least two years for the policy to be in force before the full death benefit becomes payable.

After the policy has been in force for at least two years, the premiums may be terminated and repaid with interest. Veterans may also take out loans against the policy's accumulated cash value after it has been in force for a minimum of two years.

What is the price?

According to the VA website, monthly premiums can range from as little as $11 for an 18-year-old with $10,000 in coverage to $510 for an 80-year-old with $40,000 in coverage, depending on the veteran's age and the level of coverage. You can pay your premiums up front or have money deducted from your military pension or VA disability benefits.

Because the premiums are set for the duration of the insurance, veterans will always pay the same amount regardless of their age at enrollment.

Obtain the Protection Your Family Requires

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