Understanding VA Life Insurance (VALife) Rates
Veterans Affairs Life Insurance (VALife) offers guaranteed acceptance whole life insurance coverage to Veterans with service-connected disabilities. Unlike term insurance, VALife builds cash value, and the premium rates are locked in based on the age you are when you enroll. This calculator helps Veterans estimate their monthly financial commitment based on their current age and desired coverage level.
How Premiums Are Calculated
VALife premiums are determined solely by your age at the time of application and the coverage amount you select. Since this is "whole life" insurance, the rate does not increase as you get older once your policy is active.
- Age-Based Tiers: Rates increase for older applicants. For example, a 30-year-old Veteran will pay significantly less per month than a 60-year-old Veteran for the same $10,000 policy.
- Coverage Increments: Coverage is available in increments of $10,000, up to a maximum of $40,000.
- Fixed Rates: Once you are enrolled, your monthly premium remains fixed for the life of the policy, provided premiums are paid.
Eligibility and Waiting Periods
VALife is designed specifically for Veterans with a service-connected disability rating (0% to 100%). There are no medical exams required, and acceptance is guaranteed if you meet the eligibility criteria.
The Two-Year Waiting Period: It is critical to understand that VALife has a two-year waiting period before the full death benefit is payable. If the insured Veteran passes away within the first two years of the policy from non-accidental causes, the beneficiary receives a refund of all premiums paid plus interest, rather than the full face value. After the two-year mark, the full coverage amount applies.
Who Can Apply?
Generally, Veterans age 80 or under with a service-connected disability are eligible. Some Veterans over age 81 may be eligible if they applied for VA disability compensation before age 81 and received a new rating afterwards.
Why Use This Calculator?
Planning for final expenses is a crucial part of financial wellness. Because VALife premiums can be higher than private term life insurance (due to the guaranteed acceptance nature), it is important to budget accurately. Use the tool above to compare the cost of $10,000 versus $40,000 coverage to find a premium that fits your monthly budget.