MINNEAPOLIS-ST. PAUL AIR RESERVE STATION, Minn. --Reserve members in a non-pay status accumulate debts for unpaid Servicemember’s Group Life Insurance (SGLI) premiums. Monthly Leave and Earnings Statement (LES) will notify Airmen of the premium debt amount, and the period covered.
As a result of increased issues regarding SGLI debt, the following information is provided to assist in preventing potential future debts and payment collections.
Units must ensure members are briefed on SGLI payment requirements and options for service members in a non-pay status, including but not limited to personnel in duty status 14 (not present for duty-other), duty status 28 (pending separation) and UTA absences (excused or unexcused).
Payment Procedure
Service members in a non-pay status will incur an SGLI debt unless they have taken action to either cancel coverage or arrange payments. The following options are available when in a non-pay status:
- Members may elect to cancel coverage. Instructions for this self-service process can be found at: https://milconnect.dmdc.osd.mil/milconnect/public/faq/Life_Insurance-SGLI
- Members may elect to continue SGLI coverage but must make payment arrangements by contacting the DFAS Customer Support line at 1-888-332-7411, press 2 for “Military Pay” to set up a way to pay your SGLI
- You can also mail your premium by check or money order to:
Disbursing Operation Directorate
3801 Center Collections
PO Box 269490
Indianapolis, IN 46249
Checks should be made payable to the U.S. Treasury. Members should write their Social Security Number on their payment and include a letter that explains the check is intended to pay SGLI premiums.
Debt Collection Process
Unpaid premiums are considered debts owed to the U.S. government. The Defense Finance and Accounting Service (DFAS) will attempt to collect outstanding debts for SGLI premiums from the final pay of separating members. Unpaid debts of service members who separate are referred to the Out of Service Debt department. DFAS reports delinquent debts to the major credit bureaus after 62 days of the initial debt notification letter. Furthermore, DFAS will forward delinquent debts to private collection agencies for assistance with collection. DFAS participates in the Treasury Offset Program, which authorizes the Department of Treasury to offset payments from the IRS, Office of Personnel Management, Social Security Administration, and civilian employers in order to collect delinquent debts.
Visit Out of Service Debt page on the DFAS website for more information.