Government Life Insurance

What Does Government Life Insurance Mean?

Government life insurance refers to a program established by the U.S. government in 1917 to offer life insurance to soldiers serving in World War I. The issuance of these policies ceased in 1951, seven years after the end of World War II.

Insuranceopedia Explains Government Life Insurance

In 1917, the U.S. declared war on Germany, marking the entry of the country into World War I. Private insurance companies considered soldiers too high a risk and either denied them coverage or charged exorbitant premiums. In response, the government provided life insurance to enlisted soldiers.

By 1983, all premiums for these policies had been fully paid. As of 2010, several surviving policyholders were still receiving benefits from the program.