Delayed/Denied SGLI Claims & VGLI Claims


Servicemembers’ Group Life Insurance (“SGLI”), is an insurance policy given to all U.S. active duty Servicemembers (you’ll find a complete list below). Servicemembers, make a pledge and sacrifice to our country to provide the United States with freedom. As a policyholder, you pay premiums to protect your loved one’s future. Unfortunately, your SGLI may be denied for a variety of reasons. As you know, to be eligible for life insurance, the insurer requires you to complete and submit a laundry list of paperwork. Sometimes, an insured may unknowingly forget to disclose an item. A denied SGLI claim may be the result.

Our Servicemembers risk their lives to secure our country. Many servicemembers go to work knowing the imminent danger and it does not stop them from succeeding. American Servicemembers are the finest in the world. Unfortunately, when an American Servicemember passes away, the servicemember’s family may have lost their only source of income. The U.S. places its trust and hearts with servicemembers, but sometimes the insurance companies look at your loved ones sacrifice as a hit to the insurer’s bottom line.

Why was my SGLI Denied?

SGLI claims may be denied within weeks of your loved one’s death. Insurance companies know you are vulnerable may know that you do not have the financial means to fight a denied SGLI claim. Parents, spouses, and children should not be scared to fight for their loved one’s SGLI benefits. The insurance company understands that you are experiencing an emotionally difficult time, but will coldly deny your SGLI claim. After an SGLI claim denial, you may feel anger, sadness, frustration and confusion and may even try to fight a denied SGLI claim on your own.

Our law firm represents the families of servicemembers for SGLI claims. We aim to help the families of deceased servicemembers in the most difficult time of need.

Reasons for SGLI Denial:

    • AWOL Status
    • Inactive Duty
    • Beneficiary Designation
    • Incorrect Form Submission
    • Coverage Reduction
    • Ineligibility
    • Failure to Convert Coverage
    • Non-Payment of Premiums

SGLI Litigation

An insurance company may dispute an SGLI claim and may end up denying your SGLI claim. If the insurance company denies your SGLI claim, you may have to file a lawsuit. A life insurance lawyer can help you appeal an SGLI claim denial.

Life insurance is very niche and complex. Even after you submit the proper paperwork, an insurance company may dely your SGLI claim if an outside party has contested the SGLI claim. Notably, the contester may not agree that you are the rightful beneficiary of the SGLI policy. The contester does not want you to receive any portion of the SGLI claim payment.

SGLI Eligibility

Full-time SGLI coverage is automatic for any of the following:

    • Active Duty – Army, Navy, Air Force, Marines, or Coast Guard
    • Commissioned member of the National Oceanic and Atmospheric Administration (NOAA) or the U.S. Public Health Service (USPHS)
    • Cadet or midshipman of the U.S. military academies
    • Member, cadet, or midshipman of the Reserve Officers Training Corps (ROTC) engaged in authorized training and practice cruises
    • Member of the Ready Reserve or National Guard scheduled to perform at least 12 periods of inactive training per year
    • Service member who volunteers for a mobilization category in the Individual Ready Reserve (IRR)

Frequently Asked Questions

What type of coverage is available for SGLI?

A service member can purchase SGLI coverage in $50,000 increments. SGLI maximum coverage is $400,000. From the servicemember’s date of separation, covered members receive 120 days of free coverage. If the Servicemember is totally disabled at separation, coverage can be extended for up to two years. Reserve members who do not qualify for full-time coverage (members covered part-time do not receive 120 days of free coverage) if the Part-time coverage is also provided.

If a Servicemember is disabled at the time of separation (unable to work), a Servicemember can apply for an SGLI disability extension. The SGLI disability extension provides free coverage for up to two years from the date of separation. At the end of the extension period, the servicemember becomes automatically eligible for VGLI.

How do I convert an SGLI policy to a VGLI policy?

Within one year and 120 days from discharge, a Servicemember must apply to convert their SGLI policy to a VGLI policy. Veterans that submit VGLI applications within 240 days of discharge do not need to submit evidence of good health. As a veteran, if you submit a VGLI application more than 240 days after discharge, VGLI requires you to answer a questionnaire about your health.

Some medical conditions may make it difficult or even impossible to obtain private insurance.  If a servicemember has any present medical conditions, they should consider transferring to VGLI.  Learn more about disqualifying conditions at the U.S. Department of Veteran Affairs.

Does SGLI cover off-duty death?

Yes. So long as your SGLI claim does not fall into one of the exclusions.

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