The U.S. Department of Veterans Affairs (VA) and Prudential Financial Inc. have come up with servicemembers' and veterans' life program beneficiary protection rules.
The Servicemembers' Group Life Insurance (SGLI) and Veterans' Group Life Insurance (VGLI) programs will be using new documents that ask the beneficiary to choose between getting a lump-sum check, a lump sum in an Alliance Account retained asset account (RAA), or a stream of 36 monthly benefits payments.
Prudential, Newark, N.J. (NYSE:PRU), has agreed to make the adjustments, according to VA Chief of Staff John Gingrich
The VA also is updating SGLI and VGLI information, such as lists of frequently asked questions and handbooks, to give better explanations of the RAA benefits payout option.