You'll need enough insurance to cover your expenses. There are a number of calculators to help you figure that out, including http://www.smartmoney.com/insurance/life/index.cfm?story=intro

Then, reduce that amount by any source of insurance and death benefits you have through the VA. The remainder is the amount of insurance that experts believe you should have to help your family maintain an acceptable lifestyle in the event that you are no longer a breadwinner.

Plan for Your Spouse and Children
Don't forget your spouse and children's future needs. If you are young when you separate from the military and not married with children, but you expect to be married in the not-too-distant future, you may want to take advantage of the low costs of life insurance available through the VA. You must choose the amount of insurance you want, and you may never get as good a deal for low-cost life insurance than what the VA offers-choose the maximum amount of affordable insurance available to you!