Some Vets to receive
insurance dividends
WASHINGTON (Dec. 8, 2006) - More than a million veterans are in line
to share $369 million in annual insurance dividends during 2007,
according to the Department of Veterans Affairs (VA).
VA operates one of the nation's largest life insurance programs,
providing more than $1 trillion in coverage to 4.5 million service
members, spouses and children.
The dividend payments will be sent to
an estimated 1.2 million holders of VA insurance policies on the
anniversary date of their policies. Sent automatically through
different payment plans, the amounts will vary based on the age of
the veteran, the type of insurance, and the length of time the
policy has been in force.
The dividends come from the earnings of a trust fund into which
veterans have paid insurance premiums over the years, and are linked
to returns on investments in U.S. government securities.
VA officials caution veterans about a long-running scam in which
various groups charge fees to "locate" veterans who are eligible for
the dividends. Veterans eligible for the dividends have had VA life
insurance policies in effect since they left the military and have
received annual notifications from VA about the policies.
Dividends are paid each year to veterans holding certain government
life insurance policies and who served between 1917 and 1956.
World War II veterans holding National Service Life Insurance ("V")
policies comprise the largest group receiving 2007 insurance
dividend payments. They are expected to receive total payments of
$286.3 million.
An additional group of World War II era veterans, those who have
Veterans Reopened Insurance ("J", "JR" and "JS") policies, will in
total receive dividends of $10.1 million.
Korean War era veterans who have maintained Veterans Special Life
Insurance ("RS" and "W") policies can expect to receive dividends
totaling $71.6 million.
Dividends totaling $1million will be paid to veterans who served
between World War I and 1940 and who hold U.S. Government Life
Insurance ("K") policies.
Veterans who have questions about their policies may contact the VA
insurance toll-free number at 1-800-669-8477 or send an e-mail to
VAinsurance@va.gov. They may also visit the Internet at
www.insurance.va.gov.