VALife: VA Life Insurance for Service-Connected Veterans

VALife (Veterans Affairs Life Insurance) is a federally-administered whole-life insurance program for service-connected veterans. It launched January 1, 2023 and replaced the older S-DVI program for new applicants. Coverage is up to $40,000, premiums are based on your age when you apply (locked in for life), and there is no medical exam.

"Whole life" means the policy stays in force as long as you keep paying the premium. It does not expire at age 65 or 70 like a term policy. The death benefit is paid tax-free to your named beneficiary.

The eligibility rules are intentionally broad. You qualify if all four are true:

• You have a service-connected disability rating from the VA. Any rating counts, including 0%. The rating itself just needs to exist on a VA decision letter.
• You are age 80 or younger when you apply. There is no time limit to apply at those ages. One exception covers older veterans: if you applied for disability compensation before age 81 and the rating came after you turned 81, you can still apply within 2 years of the rating notice.
• You have not been declared mentally incompetent by the VA (or have a designated fiduciary handling the application on your behalf).
• You can pay the monthly premium. There is no income test.

You do not need to be enrolled in VA healthcare, you do not need to have a current claim pending, and you do not need to live in a particular state. Honorable, general, or honorable-with-conditions discharge all qualify so long as the VA has granted at least one service-connection rating on your file.

Premiums are based on your age at the time you apply and lock in for life. They do not increase as you get older. Coverage starts at $10,000 and goes up in $10,000 increments to $40,000.

Approximate monthly premiums for $40,000 of coverage (these are illustrative, the VA publishes the official rate table):

Source: va.gov/life-insurance/options-eligibility/valife publishes the current official rate table. Always check the official rate before applying.

The timing rules are simple:

• Age 80 or younger: there is no time limit to apply. You can apply any time after you have a service-connected rating, as long as you are 80 or younger.
• Age 81 or older: you qualify only if you applied for disability compensation before age 81 and received the rating after turning 81. You must then apply within 2 years of the rating notice.

Because premiums lock in at your age when you apply, waiting still costs money even though there is no deadline. If you need a copy of your rating letter, request your Claim File (C-File). See our Records Request Guide for how.

S-DVI (Service-Disabled Veterans Insurance) was the predecessor program. It closed to new applicants on December 31, 2022. If you already had an S-DVI policy before that date, it remains in force, you do not need to switch. S-DVI policyholders can still apply for a waiver of premiums any time after they meet the requirements. But the differences are worth knowing if you are deciding whether to apply for new coverage.

If you have a current S-DVI policy and want to upgrade to VALife, the VA does not automatically convert your coverage. You must apply for VALife separately. Talk to a VA-accredited representative before dropping S-DVI in favor of VALife, depending on your age and rating, the math may favor keeping both, dropping one, or switching.

Older closed policies. VA still runs several closed life insurance programs for World War II and Korean-era veterans whose active policies begin with the letters V, RS, W, J, or JR. Some of these policies have cash and loan values, and some pay dividends. The policy loan interest rate is variable. For details, call 1-800-669-8477 or 1-800-MyVA411 (1-800-698-2411) (VA, 2026).

Because VALife is whole-life, the policy builds cash value after 2 years. Cash value is the portion of premiums (plus credited interest) that you can borrow against or surrender. It is not a separate account you can withdraw from like a savings account, but it is a real asset:

• You can take a policy loan against the cash value at a fixed interest rate. The loan does not require credit approval.
• If you stop paying premiums, the policy can use cash value to keep itself in force for a period (this is called the "non-forfeiture" provision).
• You can surrender the policy and receive the cash value back. You lose the death benefit, but you get the accumulated cash.

For most veterans, the cash value is a side benefit, not the main reason to buy. The main value is the guaranteed-acceptance death benefit at a competitive rate that private insurers would not match for a service-connected applicant.

1. Gather your VA rating decision letter. This proves your service-connection rating. If you cannot find it, request your C-File via the Records Request Guide.
2. Visit the official application page at va.gov/life-insurance/options-eligibility/valife. The application is online, free, and takes about 15 minutes.
3. Choose your coverage amount ($10,000 to $40,000 in $10,000 increments) and your beneficiary. You can change the beneficiary later.
4. Submit and wait for approval. VALife is guaranteed-acceptance for eligible veterans, so approval is typically routine. The full face amount takes effect 2 years after enrollment, as long as you keep paying premiums. If you die in those first 2 years, your beneficiary receives all premiums paid plus interest.
5. Set up automatic premium payments. The VA accepts allotment from VA disability compensation (zero-friction), bank draft, or pension allotment. Allotment from VA compensation is the most common because there is no chance of missing a payment.

Questions about VALife? Call VA's Insurance Center at 1-800-669-8477 or 1-800-MyVA411 (1-800-698-2411), Monday through Friday, 8:30 a.m. to 6 p.m. ET, or write to U.S. Department of Veterans Affairs Insurance Center, P.O. Box 5209, Janesville, WI 53547. Specialists can help with eligibility, premium payments, policy loans, naming beneficiaries, and reporting the death of the insured (VA, 2026).

An accredited VSO representative can walk you through the application at no charge. Find a VSO near you.

• Waiting "until you need it." Premiums are based on age at application. The longer you wait, the more it costs each month for life. Veterans in their 30s and 40s pay a fraction of what 70-year-olds pay for the same coverage.
• Assuming you don't qualify because your rating is "only" 10% or 0%. Any service-connected rating qualifies. There is no minimum rating threshold.
• Dropping S-DVI before being approved for VALife. Your S-DVI policy is still valid coverage. Don't cancel it until VALife is in force, or you risk a coverage gap.
• Not naming a beneficiary. Without a designated beneficiary, the death benefit goes through probate. Name a person, not your estate, when possible.
• Confusing VALife with VGLI. VGLI (Veterans' Group Life Insurance) is a different program for veterans within 1 year + 120 days of separation, regardless of disability status. VALife is for service-connected veterans, with no deadline to apply at age 80 or younger.