A denied SGLI (Servicemembers Group Life Insurance) life insurance claim after your loved one has served their country can feel like a deep injustice. It’s not just about the financial support—it’s about the recognition and respect owed to a family member who gave their service to the United States. If you are a named beneficiary under an SGLI policy and you’ve been denied the benefits after a loved one’s death, it is absolutely essential that you consult with a life insurance attorney immediately. These claims are governed by complex federal regulations that override state law, and they often involve nuanced legal standards that many beneficiaries don’t even know exist. Understanding your rights—and how to fight for them—starts with understanding what SGLI is and what can cause a denial in the first place.
What Is SGLI and Who Is Covered?
SGLI is a government-administered life insurance program created to provide low-cost coverage to active duty service members and other designated personnel. Coverage is automatic for all eligible individuals, meaning they are enrolled without needing to take specific action unless they want to reduce or decline coverage. The types of individuals who receive automatic SGLI coverage include: active duty members of the Army, Navy, Air Force, Marines, and Coast Guard; commissioned officers of the United States Public Health Service (USPHS) and the National Oceanic and Atmospheric Administration (NOAA); cadets or midshipmen attending U.S. military academies; ROTC members engaged in authorized training and cruises; and National Guard or Reserve members who participate in at least 12 training sessions per year. Servicemembers who are part of a designated mobilization category within the Individual Ready Reserve (IRR) also qualify. For these individuals, the SGLI policy provides up to $400,000 in life insurance coverage, with premiums conveniently deducted from military pay.
Types of Deaths Covered Under SGLI
Unlike private insurance policies, SGLI offers broad protection. It covers death from nearly all causes, including illness, accidents, combat-related injuries, and suicide. The few disqualifying factors typically involve extreme situations such as acts of treason or desertion. This makes it all the more shocking when a valid claim is denied. Often, the denial hinges on technicalities or misinterpretations of federal law. In these cases, legal assistance can be the difference between a denied claim and a successful payout. Unfortunately, many families never pursue the denial because they assume there’s no recourse or they simply don’t understand the process.
How Divorce Impacts SGLI Beneficiaries
One of the most misunderstood aspects of SGLI claims involves the impact of divorce on beneficiary designations. Many people assume that state divorce decrees will override a life insurance policy if the deceased was ordered to maintain coverage for their former spouse or children. However, SGLI policies are governed by federal law, and that law is crystal clear: the named beneficiary on the policy—regardless of a divorce settlement—is the one who will receive the benefits. This has resulted in numerous denied claims for ex-spouses who had every reason to believe they were still entitled to the money. Even a state court order won’t change the outcome if the deceased changed their beneficiary to someone else after the divorce. This is a harsh reality, and most divorce attorneys are not familiar with federal life insurance regulations. That’s why speaking with an attorney who understands SGLI law is vital.
Delays and Administrative Denials in SGLI Claims
Another common complication with SGLI claims involves long delays. Insurers may drag their feet in processing the claim, banking on the assumption that beneficiaries will give up before seeing the case through. These delays are often intentional and may be used as a strategy to discourage beneficiaries from pursuing their rights. This is where having a knowledgeable life insurance attorney becomes crucial. An experienced lawyer will follow up persistently, demand transparency from the insurance provider, and take legal action if necessary to resolve the case. In most instances, these attorneys work on a contingency basis, which means you won’t pay anything unless the case is won. That allows families to seek justice without the burden of upfront legal costs.
Can Misconduct Disqualify an SGLI Payout?
It’s also important to know that some SGLI claims are denied due to the conduct of the deceased servicemember. If the insured was found guilty of serious offenses like espionage, mutiny, treason, or desertion, the claim may be automatically rejected. These are considered violations of military integrity and can disqualify a policy altogether. However, not all denials are final—even in these cases. There may be mitigating circumstances or legal arguments that an experienced attorney can raise to challenge the denial. Sometimes the charges against the deceased were overturned or legally ambiguous, or there may be procedural issues with how the conviction was handled. If any of these apply, you may still be entitled to the life insurance benefits.
Why You Need a Lawyer for a Denied SGLI Claim
It’s devastating to lose someone who served our country, and even more devastating to be denied the financial support they intended to leave behind. Whether your claim was denied based on a beneficiary dispute, conduct-related exclusions, a bureaucratic delay, or some other technical issue, don’t give up without a fight. Our law firm is highly experienced in navigating the unique federal laws that govern SGLI life insurance claims. We know how to challenge wrongful denials, identify legal violations in the claims process, and get results for our clients. You don’t have to navigate this alone—and you don’t have to accept a denial as the final word. Contact our team today to find out how we can help recover the benefits your loved one meant for you to receive.