Is it Possible to Convert Life Insurance9981710

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In case you possess convertible term life insurance, your policy contains a supply that allows you to convert the policy to permanent life insurance (cash worth insurance) like whole life, variable life, or universal life.

Convertible term policies ordinarily state that transformation must occur within a specific time after the coverage is released, or before you accomplish a particular age. When the coverage is transformed, you have all the benefits of cash value life insurance, including lifetime coverage, a far more stabilized premium construction, and also the taxfavored buildup of cash value. (You may pay a greater premium for the cash value insurance.) And, you will not be asked to supply proof of insurability during the time of conversion. As an example, for those who get a $100,000 term life-insurance coverage, you can elect to convert $50,000 to permanent life insurance while keeping $50,000 in term life insurance. Then, you can either maintain the staying term insurance until the term period expires, or after change the $50,000 term coverage to permanent life insurance, based upon your needs. The premium you pay for the permanent life insurance policy will normally be based on your age at the time of conversion (attained age), in a few circumstances it could be based on your age when the initial coverage was bought (original age). Ask your insurance broker for details. find more info