Military Families Face a Double Threat Right Now: Coverage Gaps and Financial Fraud

The short answer: Military families are navigating two serious financial risks in 2026 — rising healthcare costs that Tricare doesn't fully cover, and a surge in scams specifically targeting service members and their spouses. An independent insurance advocate can help you close coverage gaps and protect the assets scammers are targeting.


This week, President Trump signed an executive order establishing the President's Military Spouse Commission, a formal body charged with addressing persistent quality-of-life problems for military families — including healthcare access, housing, employment, and childcare. The commission is a welcome acknowledgment that military families have been un- and under-served for decades, but it comes with its own pushback within the community, with its limited viewpoint and diversity.


A commission won't solve next month's insurance bill. And it won't stop the scammer who just approached your service member in a parking lot.

Here's what's happening right now, and what you can do about it.

Tricare Premiums Keep Rising — and the Coverage Gaps Are Real


If you have a dependent between the ages of 21 and 26 on Tricare Young Adult, you already know this sting: premiums for Tricare Young Adult Prime jumped 9% in 2026, rising from $727 to $794 per month. The Select plan rose 8%, from $337 to $363 per month. Since 2015, TYA premiums have increased by more than 280%.


Here's the part that often catches military families off guard: unlike civilian employer health plans, Tricare is exempt from the Affordable Care Act's requirement to cover dependents up to age 26. Standard Tricare coverage ends at age 21 — or 23 for full-time students. After that, the only Tricare option is the expensive Young Adult plan, or the family has to look elsewhere.


That gap hits hardest during a time when military families are already stretched thin. Frequent PCS moves mean disrupted healthcare relationships, changing provider networks, and gaps in coverage that can leave a dependent — or a spouse — without adequate protection at the worst possible time.

The new commission may eventually push for reform. But families dealing with a gap in coverage today can't wait for a policy fix. A knowledgeable insurance advocate can help identify supplemental health plans, short-term coverage bridges, or marketplace options that make sense for your family's specific situation and timeline.


One Smart Long-Game Strategy: An IUL Policy Started at Birth


If you have a newborn — or are planning to — there's a planning tool that's particularly well-suited to this exact problem: an Indexed Universal Life (IUL) insurance policy issued on the child's life at birth.


Here's how it works in the context of Tricare Young Adult costs: you open a small IUL policy when the baby is born, and over the next 18 to 21 years, the cash value inside the policy grows — indexed to a market benchmark, with downside protection so it doesn't lose value in a bad market year. By the time your child is heading to college and aging off standard Tricare coverage, that policy has had two decades to accumulate real cash value.


At that point, the family has two flexible options to access those funds for TYA premiums or other healthcare costs. They can take a policy loan — borrowing against the cash value at favorable terms, with the option to pay it back and keep the policy growing — or they can take a partial withdrawal directly from the cash value. Either way, the money is accessible without the penalties or restrictions you'd face pulling from a retirement account, and it comes with the added benefit of a death benefit that's been in place since day one.


This isn't a speculative strategy — it's straightforward, time-tested financial planning applied to a military family's specific coverage timeline. The earlier the policy is started, the more time the cash value has to grow and the lower the cost of insurance inside the policy. A baby born today could have a meaningful, accessible financial resource waiting for them right when Tricare costs hit hardest.

Scammers Are Targeting Military Families — and the Numbers Are Alarming

The second threat is financial, and it's escalating.


A sailor stationed in Virginia recently lost thousands of dollars in a "Good Samaritan" parking lot scam. Two men claimed to have lost their wallets and asked to borrow his phone to "enter reimbursement information." Within seconds, they had transferred a large sum out of his Navy Federal account. Norfolk police say entry-level military personnel are disproportionately impacted by these scams.


It's not an isolated incident. According to the Federal Trade Commission, military consumers — including active duty, veterans, and family members — lost $584 million to fraud in 2024.


Why are military families such attractive targets? Experts point to a few factors: frequent moves and changing addresses create confusion that scammers exploit; young service members may be handling their first significant income with less financial experience; and the military community's culture of generosity and trust makes them more likely to respond to someone in apparent need.


The scam playbook has expanded well beyond parking lots. Fraudulent PCS housing offers, phony debt-relief schemes, fake Tricare communications, unpaid toll violation texts, and AI-generated voice impersonation calls are all in active rotation. If someone creates urgency around money — especially involving a wire transfer — that's your signal to stop and verify independently.


Protecting yourself financially also means making sure your insurance coverage is in order. Fraud losses often expose families to a secondary problem: they discover that their renter's insurance, life insurance, or identity theft protection isn't set up to cover what was taken or compromised.


Here's something most people don't know: many property insurance companies offer an identity theft endorsement that can be added directly onto a homeowner's or renter's policy. For a relatively modest additional premium, this endorsement typically covers things like the cost of restoring your credit, legal fees, lost wages from time spent resolving fraud, and assistance from a dedicated recovery specialist. It's one of the simplest, most affordable ways to add a meaningful layer of protection — and it's something an independent insurance advocate can help you add to a policy you may already have.

What an Independent Insurance Advocate Can Do for Military Families

Military life creates insurance situations that don't fit neatly into standard checklists. We move frequently. Your coverage needs change with deployments. Your adult children may suddenly be without health insurance. And the financial fraud environment targeting our community means your assets need real protection, not just a policy that checked a box at enlistment.


Working with an independent insurance advocate — rather than a single-carrier agent — means getting advice tailored to your actual circumstances. An independent advocate isn't incentivized to push one company's products. We review your full picture: Auto insurance liability gaps, renter's or homeowner's protection across moves, life insurance adequacy, and identity theft coverage. Even business insurance when you chase that dream you've always wanted to pursue after the kids start school.


The President's Military Spouse Commission is a step toward systemic change. In the meantime, the most effective thing a military family can do is make sure their own coverage is solid, their risks are understood, and they have a trusted advisor in their corner.

Ready to review your family's coverage?

 Emerald Insurance Advocates offers independent, personalized insurance guidance for individuals, military families, and small business owners. We don't work for an insurance company — we work for you. Contact us today to schedule a no-pressure consultation and make sure your family is protected.


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The Ultimate Guide to Military Spouse Life Insurance: Real Protection for Military Families

By Libby Woolcock • November 12, 2025
The Ultimate Guide to Military Spouse Life Insurance: Real Protection for Military Families  What Is Military Spouse Life Insurance and Why It Matters If you’re part of a military family, you already know—life doesn’t exactly slow down for us. Between deployments, training, and PCS moves, stability can feel like a moving target. That’s where military spouse life insurance comes in. At Emerald Insurance Advocates , we understand the sacrifices and unpredictability that come with military life because we live it too. Life insurance isn’t about fearing the “what-ifs”—it’s about knowing your family’s taken care of, no matter what tomorrow brings. Understanding the Basics of Life Insurance for Military Families Military families usually have access to two main types of life insurance: government programs like SGLI and FSGLI , and private life insurance policies through independent brokers like us. FSGLI offers a good starting point, but it’s limited — and those limits often don’t match what families truly need to stay financially secure. How Military Life Affects Insurance Needs Every PCS, deployment, or career change shifts your financial picture. That’s why we always recommend reviewing your coverage after major changes. You need policies that travel with you, adapt to your lifestyle, and still protect your family when military service ends — and that’s exactly what we help families find every day at Emerald Insurance Advocates. Types of Life Insurance Available for Military Spouses FSGLI: The Government’s Option Family Servicemembers’ Group Life Insurance (FSGLI) covers spouses and children of service members. It’s affordable and easy to set up, but the coverage maxes out at $100,000 — and it ends when you separate from service unless you convert it quickly. Private Life Insurance: Full Control and Flexibility That’s where working with a broker like Emerald Insurance Advocates comes in handy. We shop multiple top-rated companies to find you a policy that covers more, fits your budget, and — best of all — moves with you even after you hang up the uniform. Term Life vs. Whole Life Policies Term life is perfect for military families who need straightforward, budget-friendly protection during active years. Whole life adds cash value and long-term financial benefits. We’ll walk you through which makes the most sense based on your goals, family size, and career plans. Why FSGLI Isn’t Always Enough FSGLI is a great foundation, but it’s meant as a supplement — not a full financial safety net. Once your spouse leaves active duty, that policy ends. Many military families don’t realize this until it’s too late. At Emerald Insurance Advocates , we help you bridge that gap by finding civilian coverage that complements FSGLI. That way, when you move into civilian life, your protection doesn’t disappear. How Emerald Insurance Advocates Helps Military Families As an independent insurance agency serving families near Fort Bragg (Fort Liberty) and licensed across Indiana, Kentucky, Missouri, Tennessee, Texas, and Virginia , we specialize in helping military families protect what matters most. Here’s what makes us different: 💬 We speak your language – We’re a military family too. We get the deployments, the moves, and the “we’ll figure it out later” mindset. 💡 We shop for you – Instead of selling one company’s plan, we find the best coverage across multiple trusted insurers. 🏡 We focus on portability – So your life insurance follows you wherever you go. 🤝 We believe in personal guidance – You won’t get a call center. You’ll get a real human who cares about your family’s peace of mind. Key Tips for Buying Military Spouse Life Insurance Don’t rely solely on FSGLI. It’s temporary and limited. Pair it with a private plan. Make sure both spouses have coverage. Especially if both incomes matter or one spouse is at home caring for kids. Review policies after major life changes. Every PCS or baby is a reason to check coverage. Think long-term. Choose something that fits both your military and civilian chapters. When you work with Emerald Insurance Advocates, we handle all of this for you — explaining options clearly, no jargon, no pressure. Common Mistakes Military Families Make With Life Insurance Forgetting to update beneficiaries. Life changes — your paperwork should too. Not converting coverage after separation. Don’t wait until it’s too late. Overlooking coverage for the spouse. The non-military spouse is often the glue of the family — make sure they’re protected too. How to File a Life Insurance Claim We know it’s the call no one wants to make — but we also know how important it is to have someone help you through it. Whether it’s FSGLI or a private policy, Emerald Insurance Advocates walks families through every step: gathering documents, contacting the carrier, and ensuring your claim is handled quickly and respectfully. Frequently Asked Questions About Military Spouse Life Insurance 1. Do I lose FSGLI when we leave the military? Yes — unless you convert it. We can help you find the best civilian replacement before that happens. 2. Can both spouses get coverage? Absolutely. And they should! Dual coverage keeps your family’s finances steady no matter what. 3. What if my spouse is deployed? No problem. We can do everything virtually — applications, signatures, and policy setup. 4. Can I afford private life insurance? Most families are surprised how affordable it can be. Because we’re brokers, we can find you the best rate possible. 5. What makes Emerald Insurance Advocates different? We’re not a call center. We’re a military family helping other military families protect their futures. 6. How do I start? Easy — reach out to us today. We’ll answer your questions, review your current coverage, and build a plan that fits your family. Final Thoughts: Your Family Deserves Peace of Mind Military life comes with enough uncertainty — your financial future shouldn’t be one of them. Whether you’re active-duty, a veteran, or a military spouse managing it all from home, Emerald Insurance Advocates is here to make sure your family is covered for whatever comes next. 💚 Let’s protect your tomorrow today. Call or message Emerald Insurance Advocates to get started with your personalized military spouse life insurance plan.

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