Your policy ends, and you stop paying premiums — but you lose coverage
When your term life insurance ends, the insurance company stops covering you. If you die after the term expires, your beneficiaries receive nothing from that policy. You also stop making monthly or annual premium payments. The policy simply closes unless you take action to renew it or convert it to permanent coverage before the term ends.
Most term policies last 10, 20, or 30 years. On the day your term ends, you have a narrow window — usually 30 to 60 days — to decide what happens next. After that window closes, your options become more limited and more expensive.
Key Takeaways
- When your term ends, your death benefit stops immediately, and you have no coverage unless you renew or convert before the deadline.
- Most policies let you renew at a higher premium without a medical exam, but rates jump significantly because you are older.
- Converting to permanent insurance (whole life or universal life) locks in your current health status but costs much more per month.
- If you do nothing by the deadline, you lose the option to renew or convert and must apply for new coverage from scratch, including medical underwriting.
- The best time to decide is 60 to 90 days before your term ends, not on the last day.
Renewing your term policy at the end of the term
Most term policies include a renewal option that lets you extend coverage for another term without proving you are still healthy. You do not need a medical exam or to answer health questions again. The insurance company must offer this option — it is written into your original contract.
The catch is cost. Your new premium will be much higher because you are older and statistically closer to death. A 45-year-old renewing a 20-year term that started at age 25 will pay roughly three to five times what they paid in the first term, depending on the insurer and your health history. A $500 monthly premium might become $1,500 or more.
Renewal is automatic in some policies — you must actively decline it or the company will renew you and bill your account. Read your policy documents or call your insurer 90 days before expiration to confirm how your policy works and what the new rate will be.
Converting to permanent life insurance
A conversion option lets you turn your term policy into whole life or universal life insurance without a medical exam. Like renewal, this is a contractual right — your original policy should spell out the conversion window, usually 30 to 60 days before expiration.
Conversion locks in your current health status at a permanent rate. If you have developed health problems during your term — diabetes, heart disease, or cancer — you cannot be denied or charged more for those conditions. For someone whose health has declined, conversion can be the only way to keep coverage.
The trade-off is significant: permanent insurance costs 5 to 15 times more per month than term. A $50 monthly term premium might become $300 to $500 as whole life. You are paying for lifetime coverage and a cash value component that builds over time, but the monthly outlay is steep. Conversion makes sense if you need coverage for life and your health makes new term insurance unaffordable or unavailable.
Applying for new coverage after your term ends
If you let your term expire without renewing or converting, you can still buy new life insurance — but you start from scratch. You will need to pass medical underwriting: blood tests, health questionnaires, and possibly a medical exam depending on the coverage amount.
Any health changes since your original policy will affect your rate. If you developed high blood pressure, gained significant weight, started smoking, or were diagnosed with a chronic illness, your new premium will reflect that. You might also be declined entirely if your health has deteriorated enough.
New coverage also takes time to process — typically two to six weeks. During that gap, you have no death benefit. If you die before the new policy is approved and in force, your beneficiaries have no claim.
What to do 60 to 90 days before expiration
Contact your insurance company or agent and ask for a renewal quote and a conversion quote. Compare the costs side by side. Also get quotes from other insurers for new term coverage at your current age and health status — you might find a better rate elsewhere than renewing with your existing company.
If your health has stayed good, new term coverage is usually the cheapest option. If your health has declined or you need coverage past age 80 or 85 (when term policies often become unavailable), conversion or renewal becomes more attractive despite the higher cost.
Do not wait until the last week of your term. Once the renewal or conversion window closes, those options disappear permanently. You cannot get them back later, even if you change your mind a month after expiration.
If you miss the deadline
Missing the renewal or conversion deadline is costly. You lose both options and must apply for new coverage as a new customer, including full medical underwriting. If your health has worsened, you will pay significantly more or be declined.
Some insurers offer a grace period of 30 to 60 days after expiration during which you can still renew or convert, but this is not may provide — check your policy. If your policy does not include a grace period and you miss the deadline, your only option is to apply for new coverage from scratch.
Frequently Asked Questions
Can I get my term life insurance back if it expires?
No. Once your term ends and the renewal window closes, that specific policy is gone. You can buy new coverage, but it will be a different policy at a different rate based on your current age and health. You cannot reactivate an expired term policy.
What if I can't afford the renewal premium?
Compare renewal rates from your current insurer with new term quotes from competitors — sometimes a new policy elsewhere is cheaper than renewing. If all options are unaffordable, you can let the policy lapse and buy coverage later if your situation improves, but you will have a gap in protection and will need medical underwriting when you reapply.
Do I have to decide on renewal or conversion right away?
No, but you must decide before your renewal or conversion window closes — usually 30 to 60 days before expiration. Start the process 60 to 90 days early so you have time to compare options and get quotes without rushing.
Will my beneficiaries get anything if I die after my term ends?
Only if you renewed or converted before expiration. If your policy expired and you did nothing, there is no death benefit. Your beneficiaries would have no claim against the insurance company.
Is it better to renew or convert?
Renew if your health is still good — new term coverage elsewhere will likely be cheaper. Convert if your health has declined, you need lifetime coverage, or you cannot find affordable term insurance at your age. Conversion costs more but guarantees you keep coverage regardless of health changes.