Servicemembers' Group Life Insurance (SGLI) is

• A. It is permanent life insurance
• B. It is paid in increments of $25,000
• C. It is voluntary
• D. It terminates after discharge

Answer: (C)

SGLI is a government-provided life insurance option for service members that you can choose to participate in or decline, making it voluntary. It’s designed as affordable term coverage rather than permanent life insurance, and the coverage amounts are set in defined levels rather than in arbitrary increments like $25,000. Also, while SGLI ends when you leave active duty, you can typically convert that coverage to another form (like VGLI) after discharge, so it doesn’t simply terminate with separation. This is why the correct takeaway is that enrollment in SGLI is voluntary.