Guide · Term life · 2 min read
My term policy is ending
A term life policy lasts for a fixed number of years. As that end date gets close, here's what the choices often look like.
What happens at the end of the term
Many term policies don't simply stop. They often switch to yearly renewable coverage, with a premium that is much higher and keeps rising each year. Others end on the date. Your contract says which one applies.
Conversion may be an option
Many term policies let you convert some or all of the coverage to a permanent policy, often without a new application. There is usually a deadline, and it can come well before the term ends. The new premium is often based on your age at the time you convert, so it's usually higher.
Other paths
You may be able to keep renewing year to year, let the policy end, or apply for new coverage. New coverage usually means a new application, with pricing based on your current age. Many people keep the old policy until any new one is approved and in force.
What to ask your insurer
- On what date does my level premium period end?
- What will the premium be after that, year by year?
- Can my term policy be converted to a permanent one, and by what date?
- Which policies can I convert to, and what would they cost?
- What happens if I do nothing?
This guide gives general information and is not advice on your own policy. Your policy contract and the insurer make the final call.