Term life insurance is in force for the term you selected. For example, most companies offer 10, 20 or 30 year term policies. Your rate is locked in for the term selected and in the event of death the policy will pay the full death benefit. Term insurance is great way to fund a large insurance need without paying a lot of money.
Term life insurance lasts as long as the term selected. When the number of the years are up, many policies either automatically become annually renewable, or you can choose to make them annually renewable. This extends the years of the policy, but at a very high price that can go up every year after that.
Many Term policies offer conversion privileges, which allows you to change them to permanent insurance. The conversion period may be offered for few years, all the way to the end of the term. Converting your Term life insurance is a way of making it last for a lifetime.
Term life insurance can generally be purchased in 5 year increments up to 30 years, if you’re younger than age 50. Term life insurance ends at the termination of the guaranteed period you selected when the policy was issued. Some term life insurance policies have conversion privileges that allow you to convert the term life insurance policy into a permanent life insurance policy, thus extending the coverage provided you convert within the time frame stated in the policy provisions.
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Many Term policies offer conversion privileges, which allows you to change them to permanent insurance. The conversion period may be offered for few years, all the way to the end of the term. Converting your Term life insurance is a way of making it last for a lifetime.