Conversion options for your life insurance plan
When you leave your employer, whether for retirement or other reasons, you often lose your benefit program, including your life insurance coverage.
But this doesn’t mean you are left without options and one thing you should consider is converting your group life insurance benefit to an individual life insurance policy. Doing so can offer many benefits, one of which is that oftentimes it can be done without a medical questionnaire.
The group life coverage in effect before the date of termination may continue during the conversion period. This is dependent upon whether this provision is included in your group insurance contract, whether you applied for it and if the first premium is received within the amount of time stipulated by your insurance provider. Usually around 30 days from the time of your group insurance being terminated.
If this isn’t an option for you, it doesn’t mean you have to go without life insurance. Another possibility is to apply for an individual life insurance policy, which can provide more flexibility and personalized coverage. With this option, however, you may be required to provide medical evidence satisfactory to the insurance carrier.