Convertible Life Insurance
What Is Convertible Life Insurance?
Convertible Life Insurance is a term-life policy that can be converted to a permanent policy during a specified period of time. The conversion can be done when the timing is right for you, and without having to show that the insured is in good health. This type of policy offers flexibility in obtaining a more permanent solution for your life insurance needs.
This means that if you had a $50,000 convertible term policy, you could convert it into a $50,000 whole life policy without giving a health history. This conversion would, however, increase your premiums.
Usually, policyholders are permitted to convert term policies only until they turn 65, and the period during which conversion is possible is shorter than the period of coverage.