Guide · Term policies · 3 min read

My term policy is ending

A term life policy lasts for a fixed number of years. When that period ends, the price, the coverage, or both may change. Looking at your options early gives you more room to choose.

What can happen at the end of the term

Some policies simply end, and the coverage stops. Others let you keep paying, but the premium can climb sharply each year after the level period. Your contract and your yearly statements show which applies to you.

Look on your statements for the words level premium period or level term. That tells you how long the current price lasts.

Converting to a permanent policy

Many term policies include a conversion option. It may let you switch some or all of the coverage to a permanent policy without a new application. There is usually a deadline, and it can come well before the term ends, so check the date early.

A permanent policy usually costs more than the term policy did, since it is built to last for life. Ask for the price before you decide.

Weighing your choices

You might keep the policy at the new price, convert it, let it end, or look at a new policy. A new policy usually means a new application, and the price is based on your age today and the insurer's rules. If you apply for new coverage, keep the current policy in force until the new one is approved and active.

If you would like quotes to compare, a licensed agent can walk through them with you.

This guide gives general information and does not address your own policy. Your contract and your insurer decide what applies to you.