Veterans’ Life Insurance Expansion and Integrity Act of 2025

This bill significantly expands eligibility for the Department of Veterans Affairs life insurance program by removing the requirement that veterans be service-disabled to qualify. It also allows veterans to apply for this insurance until they reach 81 years of age, streamlining access to coverage. The program's name is simplified to "Veterans life insurance" to reflect its broader scope.

To enhance program integrity, the legislation permits the Secretary of Veterans Affairs to cancel or void policies issued due to administrative error, defined as a clerical or processing mistake leading to an ineligible individual receiving coverage. However, strict safeguards are in place: insured veterans must receive prior notice, an explanation of the error, and a 90-day period to submit evidence refuting the error. Furthermore, the Secretary cannot void a policy due to administrative error more than one year after its issuance, reinstatement, or conversion.

The bill mandates that the Secretary conduct a comprehensive study and submit a report within two years on the expanded program's enrollment, claims, payments, and financial solvency. This report must also detail cost savings achieved from policies cancelled due to administrative error. The provisions related to program expansion will take effect one year after the bill's enactment.