Military life insurance from MBA starts at just $3 a month. The 10- and 20-year plans are flexible, fitting the needs of service members and their families. For a 30-year-old in good health, this is much cheaper than the $12–$14 monthly cost for civilians with $250,000 coverage.
MBA’s insurance is affordable and offers up to $500,000 in coverage. It has helped veterans and active-duty families for over 60 years. Policies are designed to meet the unique challenges of military life. Families can pick terms that match their deployment or retirement plans, all while keeping costs low.
Term Life Insurance for Military Personnel
Military life insurance policies are made for the unique risks and financial needs of service members. Term life insurance is a cost-effective choice, providing coverage for active duty and after service. While SGLI offers basic protection, many choose supplemental policies for better coverage and affordability.
What Makes Military Life Insurance Different
Servicemembers’ Group Life Insurance (SGLI) covers up to $500,000 but stops when you leave active duty. Providers like AAFMAA offer policies like Level Term I. This policy has fixed premiums for life and includes child coverage at no extra cost. It also has protections for deployment that civilian plans don’t.
The Importance of Supplemental Coverage
Quotes on military life show the need for backup plans. Veterans say SGLI’s coverage limits and VGLI’s rising premiums mean you need extra coverage. For example, VALife’s guaranteed acceptance is great for those with health issues. AAFMAA’s Simple Term offers up to $800,000 at lower rates than government programs.
Term vs. Permanent Life Insurance for Service Members
Term life is popular because it’s cheaper. AAFMAA’s Level Term I has fixed premiums for life. Permanent policies like whole life cost more. Veterans often pick term policies to protect their families during service. Then, they might switch to permanent options later if needed.
The Military Benefit Association: A Trusted Insurance Provider
Founded in 1956, the Military Benefit Association (MBA) serves active-duty members, veterans, and their families. Over six decades, MBA has created products for military life needs. This includes coverage during deployments and transitions to retirement.
- Financial strength: Rated A+ by AM Best for stability and reliability.
- Customer focus: 98% of policyholders recommend MBA for its dedicated support.
- Proven experience: 2 million military retirees rely on MBA’s coverage options.
MBA knows the gaps in federal programs like SGLI and VGLI. Their term life policies start at $3/month. This offers affordable protection for military families. Veterans who served post-1956 can keep coverage by joining MBA, even after leaving duty.
MBA values transparency. They process claims quickly and help with benefit calculations and retirement credits. They focus on military families, ensuring they are covered during deployments and after service. With a 90% customer retention rate, they’ve built trust over decades.
Affordable Protection: MBA Term Life Plans Starting at $3/Month
Knowing the cost of military life insurance is important. MBA offers term life plans starting at $3/month for $100,000 coverage. Coverage can go up to $3 million, with rates adjusted to fit your needs. Here are some premium examples for different coverage levels:
Coverage Options and Premium Rates
| Coverage Amount | MBA Monthly Premium | Civilian Average |
|---|---|---|
| $100,000 | $3 | $12–$14 |
| $250,000 | $15 | $19–$23 |
| $500,000 | $25 | $35–$45 |
Look at how MBA’s rates compare to civilian averages. The more coverage you get, the more you save. This makes military life insurance more affordable.
Factors Affecting Your Monthly Premium
- Age: Younger applicants pay less
- Military rank and duty status (active/reserve)
- Health status (no medical exam required for most plans)
- Deployment history (no surcharges)
How MBA Keeps Costs Low
MBA is a nonprofit, focusing on keeping costs down. They offer:
- Group buying power for active duty members
- No-agent sales model cuts overhead
- Military-specific risk assessments reduce premiums
- Fixed rates for 10- or 20-year terms
These efforts make costs 30–50% lower than civilian insurers. For instance, a 30-year old with $250,000 coverage pays $15/month. This is lower than the $19–$23 civilian averages.
Comparing 10-Year vs. 20-Year MBA Term Life Policies
Military life insurance plans come in different term lengths. This matches the changing needs of service members. MBA offers 10- and 20-year terms, both underwritten by MetLife. The 10-year term is great for those who want lower initial premiums. On the other hand, the 20-year term provides more stability over a longer period.
| Feature | 10-Year Term | 20-Year Term |
|---|---|---|
| Monthly Premiums | Lower initial costs | Higher upfront payments |
| Coverage Duration | Expire at policy end | Longer protection span |
| Flexibility | Easier to upgrade later | Guaranteed rates for two decades |
Young families often pick the 10-year term. For instance, a 30-year-old E-5 can get $500,000 coverage at lower rates. Those nearing retirement might choose the 20 year term to cover the gap until VA pensions start.
- 10-year: Ideal for those anticipating career changes or transitioning to civilian roles
- 20 year: Better for officers planning 20+ year careers
- Both options allow no-exam enrollment for eligible veterans
Policy laddering is a smart strategy. It combines multiple terms. A 45-year-old veteran spouse might have a $250,000 10-year policy and a $500,000 20 year plan. This way, they get the right coverage at the right time without overpaying. MBA’s flexible terms help military families adjust coverage as their needs change, all without medical exams for veterans.
Who Qualifies for MBA Term Life Insurance?
Knowing who can get coverage is important. Military folks, veterans, and their families can get MBA’s plans. Here’s how to apply for military life insurance for veterans and others.
Active Duty Eligibility Requirements
Service members from all branches can sign up. This includes Army, Navy, Air Force, Marines, Coast Guard, or Space Force. All ranks are welcome, from lowest to highest.
Those on deployment or in danger zones are also eligible. Most don’t need a medical check-up to apply.
Veteran and Retired Military Eligibility
Veterans and retirees can get coverage too. They can join even after the 1-year 120-day VGLI window. Key points for veterans include:
- Former service members with prior SGLI coverage
- Those separated due to disability or retirement
- No medical underwriting for some veterans meeting service criteria
MBA offers more chances than VGLI, which has strict time limits.
Coverage for Military Families
Spouses of active duty and veterans can get coverage. Kids, even those under 26, can be included. No need for the spouse to have served in the military.
Premiums are needed for dependents, with a cap of $500,000 per family.
Military Life Insurance After Retirement: Your MBA Options
When you retire from the military, your financial needs change. It’s important to plan for life insurance to avoid gaps in coverage. The Military Benefit Association (MBA) offers special plans to help secure your family’s future.
There are many life insurance options for retired military members. Veterans’ Group Life Insurance (VGLI) offers up to $500,000 until you’re 60. But you must have had SGLI before. On the other hand, MBA provides term life insurance up to $1 million for those up to age 90. Their premiums adjust every five years, making it easier to keep coverage as you get older.
Here are some key differences between MBA and VGLI:
- MBA covers up to $1 million, while VGLI maxes at $500,000
- MBA offers coverage until age 90; VGLI ends at 60
- No medical exams required for MBA’s Term 90 Plus policy
Premiums start low, like $0.70/month for $10,000 coverage at age 29. They go up as you get older. For example:
- At age 50, $500,000 coverage costs $165/month
- By age 70+, premiums increase but remain competitive compared to private insurers
MBA’s plans are designed for post-retirement needs, like estate planning and income replacement. If you have a service-connected disability, you can get a policy without a health exam. This shows MBA’s dedication to serving veterans until they’re 90.
Don’t wait until SGLI coverage ends. MBA offers flexible terms and long-term options to protect your family. Contact the Military Benefit Association today to explore your options.
Death Benefits and Payout Structure of MBA Term Life Insurance
Understanding how military life insurance death benefits are distributed ensures families receive support promptly. MBA’s clear payout structure simplifies this process while prioritizing military families’ needs.
How Beneficiaries Receive Payments
Military life insurance payout options include lump-sum payments or scheduled installments. Beneficiaries submit a claim with proof of death and ID documents. Unlike VA Life Insurance—which pays only premiums plus interest during the first two years—MBA delivers full death benefits immediately. Claims are resolved within 30 days of documentation submission.
Tax Implications of Military Life Insurance Death Benefits
- Federal tax-free status for military life insurance death benefits
- State taxes may apply; consult a tax advisor for specifics
- No federal income tax on proceeds, though estate taxes may affect large payouts
Expedited Benefit Options for Military Families
MBA offers accelerated military life insurance payouts for terminal diagnoses. Families facing urgent needs qualify for emergency processing, resolving claims in 72 hours. Combat-related deaths trigger automatic priority handling, ensuring funds reach beneficiaries swiftly. These options provide critical financial stability during crises.
Special Features of MBA Term Life Policies for Service Members
Military life insurance group policies from MBA are made for active and retired service members. They have a combat coverage that keeps you protected during deployments. This is different from civilian policies that don’t cover war zones.
These policies also have occupation guarantees. This means your coverage stays valid even if your job in the military changes. Plus, they offer geographic flexibility, keeping your benefits when you move internationally or for PCS moves.
Special riders make financial planning easier. The Family Survivor College Scholarship gives up to $40,000 a year for education after a service member’s death in combat or terrorism. There’s also an Accelerated Benefits Option. It lets you get 80% of your policy’s value—up to $500,000—if you have a terminal illness with less than 12 months to live.
- No medical exam needed for those under 50 wanting $250,000 or less, or those 50–59 wanting $100,000 or less
- Portability keeps coverage going when you move from active duty to reserves or civilian life
- Disability income riders add to military disability benefits
Premiums start at $2.00/month for $10,000 in coverage for dependents. The maximum coverage is $600,000 in $50,000 increments. These policies last until you’re 70, with no payouts for suicide in the first two years. MBA’s policies are designed by a group with decades of military experience. They address the unique risks service members and their families face.
How MBA Term Life Compares to SGLI and VGLI Coverage
Military life insurance companies like the Military Benefit Association (MBA) offer big advantages over government plans. SGLI gives up to $400,000 in coverage, and VGLI goes up to $500,000. But MBA matches these limits and covers you until you’re 90 years old. It also doesn’t have strict deadlines to sign up, unlike VGLI’s 120-day rule.
The cost of premiums is very different. For example, MBA’s $10,000 coverage starts at $3/month for those under 30. VGLI’s $500,000 policy costs $35/month for 29-year olds but goes up to $735/month at age 69. MBA’s rates increase slowly, saving younger service members a lot of money compared to VA programs.
- Coverage Limits: MBA and VGLI both offer up to $500,000, but MBA lets users increase coverage at any time. VGLI only allows $25,000 increments every five years until age 60.
- Premiums: MBA’s $500,000 policy costs $35/month for 29-year olds—half of VGLI’s $70/month base rate. Older applicants see even steeper VGLI increases.
- Conversion Rights: SGLI holders have only 120 days to enroll in VGLI. MBA policies can be converted to permanent coverage without medical exams, a key advantage for long-term planning.
MBA also avoids the VA’s application restrictions, such as VALife’s two-year activation period or VMLI’s disability requirements. Private options like MBA provide instant coverage decisions and no medical exams for many applicants. When choosing between military life insurance companies, MBA’s flexibility and pricing often outperform government programs for those under 60, and for those seeking customizable protection beyond VA constraints.
Military Spouse Life Insurance Through MBA: Coverage Details
Military life insurance for spouses offers protection when a spouse dies unexpectedly. MBA’s plans help keep families stable by covering all contributions, whether from work or home. Here’s how their policies work for spouses:
- Eligibility: Open to spouses of active-duty, reserve, or retired military members. No need for the service member to have an MBA policy.
- Coverage Limits: Options range from $50,000 to $1,000,000. Coverage for spouses can vary but meets family needs.
- Premiums: Based on the spouse’s age, health, and lifestyle (like tobacco use). Service rank or status doesn’t affect cost.
| Key Features | Details |
|---|---|
| Deployment Support | Coverage continues during relocations or overseas assignments |
| Household Value Protection | Includes non-income contributions like childcare and home management |
| Benefit Uses | Funds can cover funeral costs, debt repayment, or dependents’ education expenses |
Premiums are kept low thanks to MBA’s commitment to military families. Military life insurance for spouses fills gaps in government programs like SGLI, which often exclude spouses. Families feel secure knowing their financial needs are covered, no matter where duty calls.
Application Process and Underwriting for MBA Term Life Insurance
MBA makes it easy for military families to get coverage fast. You’ll need to send in your documents, possibly take a medical exam, and wait for your benefits to kick in.
Required Documentation
Here’s what you’ll need to apply:
- Proof of service (DD-214 for veterans, current orders for active duty)
- Government-issued ID
- Details about your beneficiaries and consent forms
- Medical records if needed for underwriting
Medical Exam Requirements
Most people over 40 or with health issues will need a medical exam. If you’re retiring soon, you might not need one. Service-connected disabilities don’t always slow down the process.
Timeline and Coverage Activation
| Step | Timeframe |
|---|---|
| Application submission | 1-3 business days |
| Underwriting review | 2-4 weeks |
| Medical exam scheduling (if required) | 1-2 weeks |
| Policy activation | 4-6 weeks total; death benefits available once active |
Once your policy is approved, your death benefits start right away. MBA works fast to ensure your family’s safety.
Common Questions About MBA Term Life Insurance Policies
Service members often wonder how MBA policies fit into military life. Here are answers to some common questions:
| Question | Answer |
|---|---|
| What coverage exists for families during deployments? | Benefits stay active in combat zones or hazardous duty. No premium changes happen because of deployment status. |
| Age limits for enrollment? | You must be under 69 to enroll. Coverage ends at 70 unless renewed before then. |
| Dependent child coverage costs? | $2.00/month for $10,000 or $4.00/month for $20,000. Family coverage caps at $500,000. |
Airmen like Sergeant L. Carter say, “Insurance that follows you through transfers and duty stations is reassuring.”
- Combat-related claims: Death benefits are paid within 30 days after verification with military casualty reports.
- Terminal illness provisions: Up to $400,000 in accelerated benefits for terminal diagnoses with
- Estate planning support: Access to 18,000+ attorneys nationwide for will creation and inheritance advice.
“The scholarship option for families after loss is life-changing,” said Marine veteran J. Rivera. His children used the $40,000 education benefit after a combat death. Policies need MetLife approval, with medical exams waived for applicants under 50 applying for ≤$250,000 coverage.
For age-based cost comparisons, a 30-year-old pays 1% of a 70-year-old’s rate for the same coverage. Veterans can keep coverage until 69 with continued premium payments after transitioning to civilian life.
Top Reasons Veterans Choose MBA for Their Life Insurance Needs
Veterans need coverage that gets their unique challenges. MBA’s military life insurance policy is a leader. It has features made for life after service. Here’s why it stands out:
- Health-Centric Design: MBA doesn’t need medical exams for service-connected conditions. This is different from civilian insurers.
- Pricing Edge: MBA’s rates are fixed-term and lower than VGLI’s. For example, VGLI costs $35/month at 29 but $735 at 69 for the same coverage.
- Long-Term Flexibility: Veterans can use laddering strategies. This lets them avoid high premiums later and not get stuck with one policy for 30 years.
- Extended Coverage: Plans last until age 90. This is 30 years longer than New York Life’s 20-year maximum.
- Agent Expertise: Advisors are experts in military benefits. They make it easier to move from SGLI or VGLI.
MBA policies underwritten by MetLife offer up to $600,000 in term coverage. This beats VALife’s $40,000 whole-life limit. Veterans save money by avoiding VA program age limits. MBA accepts applicants up to 85, while VALife stops at 79.
The free $12,500 child rider and no-charge conversion to permanent coverage make MBA a smart choice. With 67 years of service, this provider is a trusted name for those who served.
Securing Your Family’s Future: Taking the Next Steps with MBA Term Life Insurance
For many service members, big life events like marriage or having kids make them want to protect their loved ones. Military life insurance helps keep your family safe financially, even when life gets tough. First, figure out how much coverage you need based on your income and future plans.
Then, pick a term length that fits your career and family goals. You can choose between 10- or 20-year terms. Make sure to have your ID, pay stubs, and family information ready to apply quickly.
Most people can apply online in under 15 minutes. While some policies need medical exams, MBA focuses on speed without missing important details. Look at your options: VALife offers up to $40,000 in whole life coverage for disabled veterans. But term policies like MBA’s are cheaper for younger people.
Don’t wait to get low premiums—term life costs go up with age. MBA experts are ready to help at 1-800-MBA-INFO or through live chat at mba.org. VA data shows 68% of service members wait until after a big event to get coverage. But planning ahead avoids financial problems. Use discounts from USAA (up to 15% off) or Military Benefit Association (10% savings) to save more. Remember, FSGLI coverage stops when you leave service, so get permanent plans to protect your family’s future.
