Galway will face Mayo in the league final next weekend after leading throughout an open contest at Pearse Stadium in Salthill to oust Kerry by 1-13 to 0-14 in a repeat of the All-Ireland final last year.
They were good value for their win and will now try to win their first crown since they defeated Roscommon in another all-Connacht final back in 1981.
A fortuitous goal from midfielder Paul Conroy saw Galway lead by 1-07 to 0-07 at the interval.
He floated in a high ball from 45 metres two minutes from the break but Kerry goalkeeper Shane Murphy collided with the upright as he tried to field it and the ball spilled over the line.
That put the Tribesmen ahead by double scores at 1-07 to 0-05, but Kerry responded well and points from Gavin White and a free from Sean O'Shea cut the gap to a goal at the interval.
Earlier, Galway did the initial running with Johnny Heaney and Shane Walsh pointing inside two minutes.
Tom O’Sullivan and Barry Dan O’Sullivan landed efforts either side of a good point from Galway midfielder John Maher, while Paudie Clifford had a goal chance saved by Bernard Power.
That left Galway ahead by 0-03 to 0-02 after ten minutes and they hit the next three points through Matthew Tierney, Walsh and Tomo Culhane before Paudie Clifford ended a 15-minute barren spell for the Kingdom ten minutes from the break.
Tom O’Sullivan went forward to shoot his second point of the game before midfielders Maher and Barry Dan O’Sullivan both got their second points of the contest.
Then came Conroy’s goal to push the lead out to five before Kerry rallied before the break.
Sean O’Shea cut the gap to the minimum within four minutes of the restart with a free and one from play before Cathal Sweeney responded for Galway with a fisted effort.
The introduction of Damien Comer, injured since the second match of the campaign against Roscommon, prompted one of the biggest cheers of the day from the crowd of about 8,000 and the Annaghdown made an instant impact with a point which saw them lead by 1-9 to 0-9 after 45 minutes.
Kerry hit back with points from O’Shea and David Clifford, who got his first of the afternoon from a free after three wides.
He got a second from the right either side of two good frees from Shane Walsh and then sub Rob Finnerty landed one from the right to take a 1-12 to 0-12 lead into the final ten minutes.
They pushed it out to four points five minutes from time when Walsh tapped over a free after Peter Cooke was fouled by Sean O’Shea after he was put through on goal by his Moycullen teammate Sean Kelly.
Paudie Clifford reduced the gap to a goal going into four minutes of stoppage time before Galway goalkeeper Power produced a superb save to deny O’Shea from close range.;
O’Shea went out and landed the result 45 to leave two between them but that was as close as Kerry got as Galway saw out the win in possession to reach their first league final in 42 years.
Galway: Bernard Power; Johnny McGrath, Sean Kelly, Sean Fitzgerald; Dylan McHugh, John Daly (0-01), Cian Hernon; Paul Conroy (1-00), John Maher (0-02); Matthew Tierney (0-01), Johnny Heaney, Peter Cooke; Tomo Culhane (0-01), Shane Walsh (0-05f), Cathal Sweeney (0-01).
Subs: Jack Glynn for Hernon (half-time), Damien Comer (0-01) for Culhane (42), Rob Finnerty (0-01) for Maher (54), Daniel O'Flaherty for Heaney (72).
Kerry: Shane Murphy; Dylan Casey, Jason Foley, Tom O’Sullivan (0-02); Paul Murphy, Tadhg Morley, Gavin White (0-01); Jack Berry, Barry Dan O’Sullivan (0-02); Ruairi Murphy, Sean O’Shea (0-05, 0-02f, 0-02 ’45), Paudie Clifford (0-02); Tony Brosnan, David Clifford (0-02f), Donal O’Sullivan.
Subs: Diarmuid O’Connor for Barry Dan O’Sullivan (blood 31-33, 40), Dara Moynihan for R Murphy (half-time), Killian Spillane for D O’Sullivan (46), Graham O’Sullivan for Casey (52), Paul Geaney for P Murphy (65)
Referee: Niall Cullen (Fermanagh).