The Department of Veterans Affairs will automatically suspend Veterans' Group Life Insurance (VGLI) premiums from Nov. 1, 2026 through Jan. 31, 2027 for policies active on Nov. 1. The three‑month break is expected to save policyholders nearly $150 million collectively — about $330 on average — with larger savings for older veterans with higher coverage. Policies that lapse by Oct. 31 will not qualify; overdue premiums should be paid to avoid disqualification. Prepaid premiums will be credited and mistaken payments can be refunded.
VA Announces First‑Ever Three‑Month VGLI Premium Holiday — Who Qualifies and How Much You Could Save
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Hundreds of thousands of veterans will see lower out‑of‑pocket life insurance costs this winter after the Department of Veterans Affairs announced the first‑ever three‑month premium holiday for Veterans' Group Life Insurance (VGLI).
What the Break Covers
From Nov. 1, 2026 through Jan. 31, 2027, the VA will automatically suspend VGLI premium payments for policies that are active on Nov. 1. The department expects the initiative to save VGLI policyholders nearly $150 million collectively and applies to more than 457,000 enrolled veterans.
Who Is Eligible
Eligibility is simple: your VGLI policy must be active on Nov. 1, 2026. No application or additional step is required — the waiver will be applied automatically to qualifying policies.
Policies that are canceled or have lapsed by Oct. 31 will not qualify. Veterans with overdue premiums should pay outstanding balances now to prevent a lapse; the holiday does not erase debts owed before Nov. 1.
New Enrollees, Prepayments and Refunds
Veterans who enroll in VGLI during the holiday may receive a partial benefit. For example, a policy that takes effect in November requires the initial payment to activate the coverage, but December and January premiums would be waived. A policy starting in December would receive only the January waiver. Policies beginning on or after Jan. 1, 2027, are not eligible.
Prepaid premiums for November through January will be credited toward future bills. If a veteran mistakenly makes a payment during the holiday, the VA says a refund can be requested.
How Much You Could Save
VGLI premiums vary by age and coverage amount (available in $10,000 increments from $10,000 to $500,000). The VA estimates the average policyholder pays about $110 per month — roughly $330 saved over three months — but individual savings depend on age and coverage level.
Examples under current rates (for illustration):
- Age 29 or younger, $500,000 coverage: ~$30/month → ~$90 saved
- Age 40–44, $250,000 coverage: ~$35/month → ~$105 saved
- Age 50–54, $250,000 coverage: ~$72.50/month → ~$217.50 saved
- Age 60–64, $500,000 coverage: ~$425/month → ~$1,275 saved
- Age 70–74, $100,000 coverage: ~$215/month → ~$645 saved
- Age 75–79, $500,000 coverage: ~$1,925/month → ~$5,775 saved
What’s Not Included
The premium holiday applies only to VGLI. Other VA insurance programs — including Servicemembers' Group Life Insurance (SGLI), Family SGLI, VALife and Service‑Disabled Veterans Insurance — are excluded. The VA currently says it has no plans to extend a similar break to those programs.
Practical Steps for Veterans
- Confirm your VGLI policy is active on or before Oct. 31, 2026 to qualify.
- Pay any overdue premiums now to avoid cancellation prior to Nov. 1.
- If you prepaid November–January, expect credits applied to future bills; request a refund if you paid by mistake during the holiday.
- Contact the VA or your benefits representative if you have questions about enrollment timing or how the waiver will be applied.
"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 the announcement.
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