VA announces insurance premium holiday that will save Veterans nearly $150 million

WASHINGTON — The Department of Veterans Affairs will save Veterans nearly $150 million in insurance premium payments starting in November, when VA implements the first-ever premium holiday for the Veterans’ Group Life Insurance program (VGLI). Under this initiative, VGLI enrollees will not have to pay insurance premiums for three months, starting in November 2026 and ending in January 2027.

VGLI is VA’s term life insurance program that lets Veterans pay a monthly premium to maintain life insurance coverage after they leave the military. The self-funded program’s financial performance has been incredibly strong under President Trump, making the holiday possible.

More than 457,000 Veterans participate in the VGLI program, and their monthly premiums vary depending on their age and the amount of insurance coverage they choose. On average, Veterans pay about $110 per month for VGLI coverage and will save an average of $330 during the premium holiday. Nationwide, the initiative is expected to save Veterans nearly $150 million in insurance payments.

“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,” said VA Secretary Doug Collins.

VGLI Veterans are eligible for the premium holiday if they have a current policy that has not lapsed or been cancelled due to non-payment of premiums.

Eligible VGLI policyholders will automatically be exempted from three months of premium payments. Veterans will be notified in the coming weeks by letter or email if they are eligible, and no action is required by any VGLI participant.

Veterans who have paid in advance through the premium holiday period can either receive a credit on their policy for three months or can ask for a refund.

For more information about VGLI and updates about the premium holiday, visit www.va.gov/life-insurance/options-eligibility/vgli/.