In January 2023, the U.S. government released a new Veterans Affairs Life Insurance (VALife) program for disabled veterans. Veterans 80 and younger with a service-connected disability are eligible.
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However, at 81+, the eligibility requirements are much more complicated.
Learn how this plan works, the cost, who is eligible, and if you should buy it.
Table Of Contents
Table Of Contents
- How the VALife program works
- Eligibility requirements
- Sample prices
- Should veterans buy this coverage?
- How to apply
- Does VALife interfere with other programs?
- FAQ’s
How Does The VALife Insurance Program Work?
The Veterans Affairs Life Insurance (VALife) program is a guaranteed issue whole life policy that offers $10,000, $20,000, $30,000, or $40,000 in protection.
It provides permanent coverage to help disabled veterans secure life insurance to cover funeral costs.
There are no health questions or exams to qualify. You cannot be denied due to pre-existing conditions.
The policy is whole life, a type of permanent life insurance that will never expire due to age. The premiums are guaranteed never to increase, and the coverage will never decrease.
Because acceptance is guaranteed, there is a two-year waiting period before the benefits kick in.
Death during the waiting period will only result in a refund of premiums plus a small amount of interest.
All final expense life insurance companies that don’t ask health questions impose the waiting period provision.
As is the case with all forms of funeral insurance for seniors, the payout will be in the form of a tax-free check payable to your beneficiaries.
There are no restrictions on how the policy proceeds are spent.
Who Is Eligible For The VALife Program?
To be eligible for the Veterans Affairs Life Insurance program, you must be a veteran 80 years or younger with a service-connected disability rating of 0-100%.
Under certain conditions, it’s possible for veterans who are 81 or older to apply.
Here are the three requirements if you’re 81+ (you must meet all three):
- You must apply within two years of receiving a new service-connected disability rating.
- Applied for VA disability compensation before age 81.
- Received a new service-connected disability rating after turning 81.
How Much Does The VALife Plan Cost?
The price of VALife insurance coverage depends on your age and how much coverage you buy. The premiums are identical for all genders.
Once you buy your coverage, the rate is locked in for life.
Below is a table that outlines the projected monthly cost of this coverage.
| Age | $10,000 | $20,000 | $30,000 | $40,000 |
|---|---|---|---|---|
| 18 | $10.90 | $21.80 | $32.70 | $43.60 |
| 19 | $11.10 | $22.20 | $33.30 | $44.40 |
| 20 | $11.40 | $22.80 | $34.20 | $45.60 |
| 21 | $11.70 | $23.40 | $35.10 | $46.80 |
| 22 | $12.10 | $24.20 | $36.30 | $48.40 |
| 23 | $12.40 | $24.80 | $37.20 | $49.60 |
| 24 | $12.80 | $25.60 | $38.40 | $51.20 |
| 25 | $13.20 | $26.40 | $39.60 | $52.80 |
| 26 | $13.60 | $27.20 | $40.80 | $54.40 |
| 27 | $14.00 | $28.00 | $42.00 | $56.00 |
| 28 | $14.40 | $28.80 | $43.20 | $57.60 |
| 29 | $14.90 | $29.80 | $44.70 | $59.60 |
| 30 | $15.40 | $30.80 | $46.20 | $61.60 |
| 31 | $15.90 | $31.80 | $47.70 | $63.60 |
| 32 | $16.40 | $32.80 | $49.20 | $65.60 |
| 33 | $17.00 | $34.00 | $51.00 | $68.00 |
| 34 | $17.60 | $35.20 | $52.80 | $70.40 |
| 35 | $18.30 | $36.60 | $54.90 | $73.20 |
| 36 | $18.90 | $37.80 | $56.70 | $75.60 |
| 37 | $19.60 | $39.20 | $58.80 | $78.40 |
| 38 | $20.40 | $40.80 | $61.20 | $81.60 |
| 39 | $21.10 | $42.20 | $63.30 | $84.40 |
| 40 | $22.00 | $44.00 | $66.00 | $88.00 |
| 41 | $22.80 | $45.60 | $68.40 | $91.20 |
| 42 | $23.70 | $47.40 | $71.10 | $94.80 |
| 43 | $24.60 | $49.20 | $73.80 | $98.40 |
| 44 | $25.60 | $51.20 | $76.80 | $102.40 |
| 45 | $26.60 | $53.20 | $79.80 | $106.40 |
| 46 | $27.70 | $55.40 | $83.10 | $110.80 |
| 47 | $28.80 | $57.60 | $86.40 | $115.20 |
| 48 | $30.00 | $60.00 | $90.00 | $120.00 |
| 49 | $31.20 | $62.40 | $93.60 | $124.80 |
| 50 | $32.50 | $65.00 | $97.50 | $130.00 |
| 51 | $33.90 | $67.80 | $101.70 | $135.60 |
| 52 | $35.30 | $70.60 | $105.90 | $141.20 |
| 53 | $36.90 | $73.80 | $110.70 | $147.60 |
| 54 | $38.40 | $76.80 | $115.20 | $153.60 |
| 55 | $40.10 | $80.20 | $120.30 | $160.40 |
| 56 | $41.90 | $83.80 | $125.70 | $167.60 |
| 57 | $43.70 | $87.40 | $131.10 | $174.80 |
| 58 | $45.70 | $91.40 | $137.10 | $182.80 |
| 59 | $47.70 | $95.40 | $143.10 | $190.80 |
| 60 | $50.00 | $100.00 | $150.00 | $200.00 |
| 61 | $52.30 | $104.60 | $156.90 | $209.20 |
| 62 | $54.60 | $109.20 | $163.80 | $218.40 |
| 63 | $56.90 | $113.80 | $170.70 | $227.60 |
| 64 | $59.40 | $118.80 | $178.20 | $237.60 |
| 65 | $62.00 | $124.00 | $186.00 | $248.00 |
| 66 | $64.80 | $129.60 | $194.40 | $259.20 |
| 67 | $67.80 | $135.60 | $203.40 | $271.20 |
| 68 | $70.90 | $141.80 | $212.70 | $283.60 |
| 69 | $74.40 | $148.80 | $223.20 | $297.60 |
| 70 | $78.00 | $156.00 | $234.00 | $312.00 |
| 71 | $81.80 | $163.60 | $245.40 | $327.20 |
| 72 | $85.80 | $171.60 | $257.40 | $343.20 |
| 73 | $90.10 | $180.20 | $270.30 | $360.40 |
| 74 | $94.70 | $189.40 | $284.10 | $378.80 |
| 75 | $99.50 | $199.00 | $298.50 | $398.00 |
| 76 | $104.60 | $209.20 | $313.80 | $418.40 |
| 77 | $109.90 | $219.80 | $329.70 | $439.60 |
| 78 | $115.60 | $231.20 | $346.80 | $462.40 |
| 79 | $121.40 | $242.80 | $364.20 | $485.60 |
| 80 | $127.50 | $255.00 | $382.50 | $510.00 |
| 81 | $133.80 | $267.60 | $401.40 | $535.20 |
| 82 | $140.40 | $280.80 | $421.20 | $561.60 |
| 83 | $147.40 | $294.80 | $442.20 | $589.60 |
| 84 | $154.70 | $309.40 | $464.10 | $618.80 |
| 85 | $162.60 | $325.20 | $487.80 | $650.40 |
| 86 | $171.10 | $342.20 | $513.30 | $684.40 |
| 87 | $180.40 | $360.80 | $541.20 | $721.60 |
| 88 | $190.90 | $381.80 | $572.70 | $763.60 |
| 89 | $202.90 | $405.80 | $608.70 | $811.60 |
| 90 | $217.00 | $434.00 | $651.00 | $868.00 |
| 91 | $234.30 | $468.60 | $702.90 | $937.20 |
| 92 | $256.40 | $512.80 | $769.20 | $1,025.60 |
| 93 | $287.40 | $574.80 | $862.20 | $1,149.60 |
| 94 | $337.00 | $674.00 | $1,011.00 | $1,348.00 |
| 95 | $442.00 | $884.00 | $1,326.00 | $1,768.00 |
Should You Buy This VA Guaranteed Acceptance Whole Life Insurance?
It’s admirable that the VA made an effort to help veterans with this life insurance program.
However, just because the federal government administers it does not mean it’s the best final expense insurance option for veterans.
The truth is that veterans, disabled or not, can almost always get the same type of coverage for a lower premium.
Tip:
Most veterans, despite past serious health issues, can obtain a funeral insurance policy that does not require a two-year waiting period as this VAlife program does.
All veterans who need insurance to cover their burial should first consult with an independent insurance broker.
Independent insurance agencies like Choice Mutual can compare offers from 10-20 different insurance companies to ensure they can get each client the best deal possible.
If you’re a veteran and need insurance, an independent insurance broker will certainly get you a much better insurance deal than this VALife plan.
This plan would only be advisable for disabled veterans above 85 with severe pre-existing conditions.
How To Apply
Applying for the Veterans Affairs Life Insurance program will be done via a fully automated online application.
Since the policy does not have medical underwriting requirements, the application will always provide instant approvals.
Go to their online application to apply.
Does VALife Coverage Affect Other VA Life Insurance Programs?
The VALife coverage does not impact any current or future VA life insurance programs. If you have other VA life insurance coverage, you can keep it in addition to your VALife plan.
Conversely, if you purchase the VALife plan, it won’t make you ineligible for other VA life insurance programs.
Frequently Asked Questions
The VALife insurance program is being issued directly from the Department of Veterans (federal government policy). There is no third-party private insurer involved.
The VALife insurance program is only for veterans with a service-connected disability. Being a spouse of a disabled veteran does not make you eligible for this coverage.
At this time, the only options are $10,000, $20,000, $30,000, or $40,000. You cannot buy any other amount of coverage.
The VALife insurance program is only available to veterans with a disability connected to their service in the military. Veterans without a service disability are not eligible.
Death in any form will only result in a refund of premiums plus interest. That is contrary to most guaranteed acceptance policies available via private insurers. Private insurance companies will pay out the full death benefit for accidental deaths during the first two years.
I'm an insurance expert with a comprehensive understanding of various insurance programs, including the intricacies of life insurance for veterans. My expertise is grounded in extensive research, professional experience, and a commitment to staying up-to-date with the latest developments in the field. I've closely followed the introduction of the Veterans Affairs Life Insurance (VALife) program and can provide insights into its features, eligibility criteria, pricing, and potential alternatives.
The VALife program, launched by the U.S. government in January 2023, caters specifically to disabled veterans aged 80 and below with a service-connected disability. It offers a guaranteed issue whole life policy with coverage options of $10,000, $20,000, $30,000, or $40,000. What sets this program apart is its permanent coverage, lack of health questions or exams for qualification, and a unique two-year waiting period before benefits become effective. During this waiting period, if death occurs, only a refund of premiums plus a small amount of interest is provided.
Eligibility for the VALife program is straightforward for veterans aged 80 or younger with a service-connected disability rating of 0-100%. However, for veterans aged 81 and above, the requirements become more complex. These individuals must apply within two years of receiving a new service-connected disability rating, have applied for VA disability compensation before turning 81, and have received a new service-connected disability rating after turning 81.
The cost of VALife insurance varies based on age and coverage amount, with premiums guaranteed never to increase once the coverage is purchased. Notably, the rates are the same for all genders. The program aims to assist disabled veterans in securing life insurance coverage for funeral costs, providing them with financial peace of mind.
While the VALife program is commendable, it may not be the most cost-effective option for all veterans. Independent insurance brokers, such as Choice Mutual, can offer a broader perspective by comparing offers from 10-20 different insurance companies. For many veterans, especially those without severe pre-existing conditions, alternative funeral insurance policies might be available without a two-year waiting period, potentially offering better terms.
Applying for the VALife program is done through a fully automated online application, ensuring instant approvals due to the absence of medical underwriting requirements. Importantly, the program doesn't interfere with other existing or future VA life insurance programs, allowing veterans to maintain multiple policies if desired.
In conclusion, while the VALife program serves a vital role in supporting disabled veterans, exploring alternative options through independent insurance brokers might yield more favorable outcomes for many veterans, especially those below the age of 85 with manageable health conditions. It's crucial for veterans to make informed decisions based on their individual needs and circ*mstances.
