PSI Life, Accident, Health Practice Exam 2025 - Free Practice Questions and Study Guide

Question: 1 / 400

How long does an employee in a group insurance policy have to exercise the conversion privilege after their employment is terminated?

0 days with no eligible coverage

31 days to begin an individual life insurance policy

An employee under a group insurance policy typically has 31 days to exercise the conversion privilege after their employment is terminated. This provision allows them to convert their group coverage to an individual life insurance policy without having to provide evidence of insurability. The 31-day window is a standard time frame set in many group insurance plans to ensure employees have adequate time to secure continued coverage after they leave their job.

This aspect of group policies is crucial because it prevents individuals from losing their life insurance coverage immediately upon termination, which could leave them vulnerable to potential health issues in the future. The conversion must be initiated within this 31-day period for the employee to maintain uninterrupted coverage.

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90 days to convert to an individual policy

6 months if the employee was ill-treated

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