What Happens to Life Insurance if You Outlive Your Policy?
Understanding the implications of outliving your life insurance policy can help you make informed decisions about your coverage. If you have term life insurance and outlive the policy, the coverage expires at the end of the term.
Your options may include the following:
- Renewal—Many term life policies offer a renewal option, allowing you to extend your coverage for a new term. However, premiums for the renewed policy will likely be higher because they’re based on your age at the time of renewal.
- Conversion—Some term policies have a conversion feature, allowing you to switch to a permanent life insurance policy without undergoing a medical exam. This can be a valuable option if you wish to maintain coverage and have a whole or universal life policy.
- Purchase a new policy—You can shop around for a new term life policy. Keep in mind that new premiums will be based on your current age and health status.
Planning for the Future
Regardless of the type of life insurance policy you hold, it’s crucial to review your coverage periodically, especially as you age. Your financial situation and insurance needs can change over time. It’s crucial to regularly assess whether your current coverage meets your needs or if adjustments are necessary.
If your policy is nearing the end of its term or you’re concerned about outliving your coverage, explore other insurance products or financial strategies to ensure continued protection for your loved ones.
Contact Us
Contact Bienvenido Insurance in San Antonio, Texas, to learn about your life insurance options and get a quote.
This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.
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