When an insured terminates membership in a group, what can the insured convert to?

When an insured terminates membership in a group, they are typically granted the right to convert their group life insurance policy to an individual policy without needing to provide proof of insurability. This conversion option is a crucial benefit of group life insurance, allowing individuals to maintain life insurance coverage even after leaving the group.

In this context, whole life insurance is the most common conversion option. It provides lifelong coverage as long as premiums are paid, and the absence of proof of insurability means that the insured can obtain this coverage based on the original group policy, regardless of their health status at the time of conversion.

This option ensures that individuals do not face the risk of being uninsured due to health changes that may occur after leaving the group. Whole life insurance typically has a cash value component, which can be beneficial for the insured. Therefore, the ability to convert to whole life insurance without proof of insurability emphasizes the significance of preserving coverage and underscores the supportive nature of group insurance plans for their members.