For our troops, putting their lives on the line every day in high-risk environments, one might think it’s just as difficult for them to get life insurance as it would be for anyone else in a high-risk occupation. However, this is not the case; in fact, anyone serviced by the military—who is currently an active duty member—automatically receives life insurance benefits through SGLI (Servicemembers’ Group Life Insurance).
If you want to enquire about an HBF life insurance policy for yourself, check out their site today. If you’re considering joining the military, or are currently enrolled in SGLI and have questions, below is a compiled list of the most frequently asked questions about the program to assist you.
Q: What kind of coverage does SGLI provide to service members?
A: Coverage provided by SGLI is term life insurance. Due to this, the policies possess no cash or loan values and don’t provide any kind of investment opportunity. Upon death, the policy will pay out death benefits (the max being $400,000) to your designated beneficiary.
Q: What do I need to do to gain coverage? When am I covered?
A: You’re covered from the very first day of active duty, for the maximum amount that you can be covered for ($400,000), unless you previously declined to receive this coverage or requested a reduced amount. If you declined, and have changed your mind, request a SGLV 8286 form, or a Servicemembers’ Group Life Insurance and Certificate form; your coverage will become effective as soon as the application if filled out and received. If you did not decline, you’ll still be asked to file this form, but you do not actually have to apply.
Q: What if I’m only a Reservist? Do I still receive full coverage?
A: It depends on the kind of duty that you are serving; a full breakdown can be found below:
- Active Duty Members—For those who are full active duty members of the military—full time duty—you are automatically covered upon initiation of service for a full 365 days per year. This includes any inactive duty training and remains in effect for 120 days after separation.
- Reservist | National Guard Members—As a reservist, or member of the National Guard, you may be assigned periods of inactive duty that are still creditable towards retirement. If these periods are, in fact, creditable, you will receive the same benefits as a full-time active duty member.
- Part–Time Reservist | National Guard—The exception to the above happens if your duty requires you to only perform drill a few days out of year and inactive periods are not creditable towards requirement.
Q: How much do I pay for SGLI?
A: For the maximum amount of coverage–$400,000—the total cost of your premium is $27/month; this includes a $1/month charge for Trauma SGLI, as required. Of course, you don’t have to receive the max amount of coverage and can request that it be reduced; below are a few example of how much reduced insurance would cost:
- $50,000 Total Coverage
- $4.25/month with TSGLI
- $100,000 Total Coverage
- $7.50/month with TSGLI
- $150,000 Total Coverage
- $10.75/month with TSGLI
- $200,000 Total Coverage
- $14.00/month with TSGLI
- $250,000 Total Coverage
- $17.25/month with TSGLI
- $300,000 Total Coverage
- $20.50/month with TSGLI
- $350,000 Total Coverage
- $23.75/month with TSGLI
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