Hundreds of thousands of veterans are set to get a break from paying life insurance premiums later this year under a new Department of Veterans Affairs (VA) initiative that is expected to save policyholders almost $150 million. The VA announced on Wednesday that it would introduce the first-ever three-month premium holiday for Veterans' Group Life Insurance (VGLI) holders, suspending premiums from November 1, 2026, through January 31, 2027. More than 457,000 veterans nationwide are currently enrolled in the program.
Eligible veterans will keep their full insurance coverage throughout the three months without having to make the usual payments. The VA said VGLI policyholders pay about $110 per month on average, meaning the typical veteran could save roughly $330 over the holiday—though savings could be considerably higher for those with higher-level coverage. "VA is all about making life better and more affordable for Veterans, and this premium holiday will help the men and women who served this nation keep more of their hard-earned money," VA Secretary Doug Collins said in a news release announcing the change.
The main requirement is straightforward: A veteran's VGLI coverage must be active on November 1. Veterans whose policies are active at that point do not need to apply or take any other action. The three-month break will be applied automatically.
Veterans whose coverage is canceled or lapses by October 31 will not qualify. Anyone with overdue premiums should therefore pay the outstanding balance to prevent their policy from lapsing. The holiday itself does not wipe out any money owed prior to November.
People who join VGLI during the holiday may still receive part of the break. For example, a veteran whose coverage begins in November must make the first payment needed to activate the policy but would then have December and January premiums waived. Someone whose coverage starts in December will receive the January break.
Coverage beginning on or after January 1, 2027, would not qualify. Veterans who have already paid ahead will also receive the benefit, with premiums already paid for November through January being credited toward future bills, while veterans who mistakenly make a payment during the holiday can request a refund. VGLI is a VA-backed term life insurance program that allows eligible former service members to continue life insurance coverage after leaving the military.
Extract — continue reading at the source.
