Basic Coverage Provided by SGLI
Servicemembers' Group Life Insurance (SGLI) is the primary life insurance program for active‑duty personnel. It offers up to $400,000 of coverage at no cost to the service member, automatically enrolling them unless they opt out. If a soldier is killed in action, the beneficiary named on the policy receives the full face amount, tax‑free, as a lump‑sum payment.
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VA Dependency and Indemnity Compensation (DIC)
In addition to SGLI, the Department of Veterans Affairs provides Dependency and Indemnity Compensation to surviving spouses, children, or parents. DIC is a tax‑free monthly benefit that varies by the service member's rank and the number of dependents, typically ranging from $1,300 to $1,700 per month.
Survivor Benefit Plan (SBP) for Retired Personnel
Retired soldiers who elected the Survivor Benefit Plan continue to protect their families after death. The SBP pays a monthly annuity equal to a percentage of the retiree's base pay, usually 55%, to the designated beneficiary. The amount adjusts for cost‑of‑living increases.
Claim Process and Required Documentation
To claim SGLI, families must submit VA Form 21‑8940 (Claim for Service‑Connected Death Benefits) along with a copy of the death certificate and the SGLI beneficiary designation. For DIC, VA Form 21‑534EZ is required. Prompt filing speeds payment, but processing can take 30‑90 days depending on documentation completeness.
Additional State or Employer Policies
Some states offer supplemental death benefits for National Guard or Reserve members, and many employers provide group life policies that extend to active‑duty soldiers. These policies may add extra coverage or provide additional survivor payouts, but they operate separately from federal programs.
Key Differences Between Benefits
| Benefit | Type | Amount | Frequency |
|---|---|---|---|
| SGLI | Life insurance | Up to $400,000 | Lump sum |
| DIC | Monthly survivor payment | $1,300‑$1,700 | Monthly |
| SBP | Retirement survivor annuity | 55% of base pay | Monthly |
Practical Tips for Families
- Confirm the beneficiary designation on SGLI before deployment.
- Gather all military service records, DD‑214, and death certificate early.
- Use the VA's online portal or a VSO to submit forms electronically.
- Consider consulting a military legal assistance attorney for complex cases.