Most service members have more life insurance than civilians, but that doesn’t mean it’s enough.
Servicemembers’ Group Life Insurance (SGLI) is one of the most valuable benefits available to active duty troops. It is affordable, automatic and provides a strong financial safety net while you serve.
But like most employer-provided coverage, it has limits, and for many military families, it should not be the only plan in place.
How Much Coverage Do You Really Have?
Service members have access to up to $600,000 in total survivor benefits, including $500,000 in SGLI life insurance coverage and a $100,000 death gratuity for qualifying active-duty deaths.
Those benefits provide meaningful support, but they serve different purposes:
- SGLI is designed to help replace income over time.
- The death gratuity is a one-time payment to help families handle immediate expenses.
For families with children, a mortgage or long-term financial goals, that level of coverage may fall short of replacing a service member’s income over time.
What About Spouse Coverage?
Through Family SGLI (FSGLI), service members can insure their spouses for up to $100,000.
That coverage helps, but for many families, it does not fully account for:
- Lost income from a working spouse
- The cost of childcare or household support
- Long-term financial needs
Take a closer look at how your household would function financially if that income disappeared.
What Happens When You Leave the Military?
SGLI does not follow you forever. After separation, you receive 120 days of free coverage. After that, the policy ends.
You have options:
- Convert to Veterans Group Life Insurance (VGLI) without proof of good health if you enroll within the required time frame
- Apply for civilian term life insurance, which may offer lower rates if you are young and healthy, but requires medical underwriting
VGLI can be a strong option, especially if you have health concerns, but premiums increase with age. Many service members compare both options before deciding.
Why Many Service Members Add Additional Coverage
SGLI is a strong foundation, but it is still just a foundation.
The purpose of life insurance is to replace income and protect your family’s long-term financial stability. That includes:
- Housing and everyday living expenses
- Education costs
- Debt and future financial goals
Many service members choose to supplement SGLI with additional coverage that:
- Stays with them after leaving the military
- Provides a higher level of income replacement
- Locks in lower rates while they are younger and healthy
Why This Matters More During Deployments
With deployments increasing across multiple regions, many military families are taking a fresh look at their financial readiness.
Life insurance is one of the key pieces of that conversation. While it is not something most people revisit often, moments like deployment, training cycles or extended time away from home are a good time to review your coverage and make sure everything is in place.
That includes:
- Confirming your current coverage levels
- Reviewing beneficiaries
- Making sure your family knows what benefits are available
For additional guidance, service members and families can review a deployment preparation checklist here:
https://www.aafmaa.com/hubfs/Downloads/ArmedForcesMutual_Checklist_Deployment_M.pdf
The Bottom Line
Military benefits can provide up to $600,000 in combined survivor support, but for many families, that is not enough to replace a lifetime of income.
If your situation has changed, such as marriage, children or an upcoming transition, now is the time to review your coverage and make sure your family is fully protected.
Protecting your family is not just about having coverage. It is about having the right coverage.
