If you happen to have a life insurance policy through the government’s Veterans Group Life Insurance (VGLI) program, there are a number of coverage options to take into consideration.
One option is to convert an existing policy into an individual commercial policy.
There are several factors to take into consideration prior to converting one’s policy, according to the U.S. Department of Veterans Affairs (VA):
- There’s a limited window of opportunity.
- You must select a company that participates in the conversion program. A list of all the participating companies can be found here.
- You must provide proof of eligibility, which can obtained from the Office of Service members’ Group Life Insurance.
- You must ensure your ability to pay the required premium payment.
- You should understand all terms of the new, converted policy.
When considering converting policies, you should keep in mind that your new policy must be a permanent policy. Other types – like term life – are not permitted through the conversion program.
“Policyholders may convert their coverage to a commercial policy at standard premium rates, without having to provide proof of good health,” said the VA.
While members of the military may choose to change insurance providers, civilians may also find a benefit in comparing rates for life insurance coverage. Furthermore, changes in a person’s personal circumstances may warrant expanding coverage.