H.R.970 - Fairness for Servicemembers and their Families Act of 2025 (119th Congress)
Summary
H.R. 970, the Fairness for Servicemembers and their Families Act of 2025, mandates the Secretary of Veterans Affairs to conduct periodic reviews of the automatic maximum coverage amounts under the Servicemembers' Group Life Insurance (SGLI) and Veterans' Group Life Insurance (VGLI) programs. These reviews, occurring every five years starting January 1, 2026, will compare the current coverage amount to an amount adjusted for changes in the Consumer Price Index. The results of these reviews will be submitted to the House and Senate Committees on Veterans' Affairs to guide potential coverage increases.
Expected Effects
The primary effect of this bill is to ensure that the life insurance coverage provided to servicemembers and veterans keeps pace with inflation. This will help maintain the real value of the benefits provided to beneficiaries. By requiring periodic reviews tied to the Consumer Price Index, the bill aims to prevent the erosion of coverage value over time.
Potential Benefits
- Ensures life insurance coverage for servicemembers and veterans keeps pace with inflation.
- Provides regular review and potential adjustments to SGLI and VGLI maximum coverage amounts.
- Offers financial security to families of servicemembers and veterans.
- Uses a transparent and objective metric (Consumer Price Index) for adjustments.
- Informs Congress with data-driven recommendations for coverage increases.
Potential Disadvantages
- The bill itself does not guarantee any actual increase in coverage, only a review.
- Administrative costs associated with conducting the periodic reviews.
- Potential delays or inaction by Congress in implementing recommended coverage increases.
- The formula may not fully capture the actual financial needs of beneficiaries in all cases.
- The review process may become politicized, leading to debates over the appropriate level of coverage.
Constitutional Alignment
This bill appears to align with the constitutional mandate to provide for the common defense and promote the general welfare, as outlined in the Preamble of the US Constitution. Congress has the power to raise and support armies (Article I, Section 8) and to make all laws which shall be necessary and proper for carrying into execution the foregoing powers. Providing life insurance benefits to servicemembers and veterans is a reasonable means of supporting the military and their families.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).