Term life is the one policy type where the calendar, not the balance sheet, decides everything. A term policy has no cash value, so there is nothing to surrender and nothing for a buyer to price on its own. What can carry value is the conversion privilege written into the contract, which lets you exchange term coverage for permanent coverage without new medical underwriting. That privilege expires. Once it does, a term policy that has not been converted is simply coverage that will end, and the window cannot be reopened.
If you hold a Farm Bureau Life term policy and the term is running out, or the renewal premium has jumped, the first task is to find out how much of the conversion window is left. This page walks through that, what the coverage would convert to, and where a life settlement can and cannot fit. Pine Lake Life Solutions is an independent educational resource, is not affiliated with Farm Bureau Life Insurance Company, and does not purchase policies.
In This Article
Why a Term Policy on Its Own Cannot Be Sold
An institutional buyer in the life settlement market is buying a future death benefit and agreeing to pay premiums until it is paid. A term policy whose coverage ends on a fixed date, often long before life expectancy, gives that buyer nothing to hold. That is why term coverage is almost never purchased in its raw form.
The exception is a term policy that can still be converted. If the contract allows conversion to a permanent plan, the resulting permanent policy is a normal settlement candidate, because the coverage no longer expires. In practice the sequence is: confirm the conversion right, confirm the deadline, confirm what it converts into and at what premium, then evaluate whether the converted policy is worth keeping, worth selling, or worth neither. Skipping to the last question first is how people miss the deadline.
Finding Your Conversion Deadline
Conversion rules are contract terms, not marketing terms, and Farm Bureau Life does not publish them on its consumer website. They live in the conversion or exchange provision of your own policy, and they are typically expressed two ways at once: an age limit for the insured and a duration limit measured from the policy date. Whichever arrives first ends the privilege. Some contracts also limit conversion to a stated portion of the face amount, or restrict which permanent plans are available.
Read the provision, then confirm what you read with the company rather than relying on memory or an old marketing brochure. Farm Bureau Financial Services lists 800-247-4170 for life and annuity client service, available Monday through Friday 8:00 a.m. to 7:00 p.m. and Saturday 9:00 a.m. to 1:00 p.m. Central time. Ask four questions and write down the answers: what is the last date I may convert, what is the maximum amount I may convert, which permanent plans are available to me, and what would the premium be at my current age.
What Farm Bureau Life Term Coverage Converts Into
The permanent plans a company offers today determine what a conversion can produce. As of July 2026 Farm Bureau Life’s consumer site states that it offers three types of life insurance: term life, whole life and indexed universal life. That matters because the two permanent options behave very differently. Whole life carries a guaranteed cash value and a level premium, which makes it expensive at older ages but predictable. Indexed universal life is a flexible-premium contract whose account value depends on credited interest tied to an index formula, and whose monthly insurance charges rise with age.
For someone converting late in life with the intention of keeping the coverage, the guaranteed structure often has appeal. For someone converting with the intention of testing the settlement market, the lower-premium flexible contract is frequently the more practical choice, because the buyer will be the one paying those premiums. Neither choice should be made without a written premium quote from the company at your current age. Ask specifically whether conversion is available without evidence of insurability, since that is the entire value of the privilege.
| Question to confirm with the company | Why it is time-critical |
|---|---|
| Last date conversion is permitted | The privilege cannot be reinstated once it expires |
| Age limit for the insured | An age cap can end the window before the duration cap does |
| Maximum face amount convertible | Some contracts allow only part of the coverage to convert |
| Permanent plans available on conversion | Determines the premium and whether a buyer would want it |
| Whether evidence of insurability is required | Conversion without underwriting is the point of the privilege |
| Premium at current age | Decides whether keeping the converted policy is realistic |
Confirm Which Farm Bureau Company Issued the Policy
Farm Bureau Life Insurance Company of West Des Moines, Iowa, a subsidiary of FBL Financial Group, Inc., is a separate business from Southern Farm Bureau Life Insurance Company, Farm Bureau Life Insurance Company of Michigan, Farm Bureau Life Insurance Company of Missouri, Kentucky Farm Bureau, Indiana Farm Bureau Insurance and Texas Farm Bureau. Each has its own service center, its own forms and its own contract language, so a conversion question answered by the wrong company is wasted time.
The Iowa company’s life and annuity business is licensed in Arizona, Idaho, Iowa, Kansas, Minnesota, Montana, Nebraska, New Mexico, North Dakota, Oklahoma, South Dakota, Utah, Wisconsin and Wyoming. Its home office is 5400 University Avenue, West Des Moines, Iowa 50266-5997. Check the face page of your contract against that name and address.
Is the Carrier Stable Enough to Convert Into
Converting means committing to a long-term contract with the same insurer, so the company’s condition is a fair question. FBL Financial Group, Inc. is no longer publicly traded: Farm Bureau Property & Casualty Insurance Company completed a take-private transaction on May 25, 2021, buying the outstanding Class A and Class B shares it and the Iowa Farm Bureau Federation did not already hold for $61.00 per share in cash, and the stock was delisted from the New York Stock Exchange before the open on May 26, 2021. The Iowa Farm Bureau Federation remained the majority owner. The company continues to write new business rather than operating in runoff.
AM Best has affirmed a Financial Strength Rating of A (Excellent) and a Long-Term Issuer Credit Rating of “a+” for Farm Bureau Life Insurance Company, with a “bbb+” Long-Term Issuer Credit Rating for the holding company, outlook stable. Ratings are periodically reviewed and can change, so confirm the current rating with AM Best or the company before relying on it.
After Conversion: What Actually Happens Next
Once a term policy is converted, it becomes a permanent contract with a cash value component and no expiry date, and the ordinary options open up. You can keep paying premiums, you can use whatever cash value accumulates, or, if age and health support it, you can ask a licensed broker to test the settlement market. Eligibility in that market is driven by the insured’s age and current health, and no one can promise an offer or a value in advance of underwriting.
A sale is completed by transferring ownership of the converted policy. Farm Bureau Life handles ownership transfers in Section 4 of its Policy Service Request, form 433-279 (01-23), which is mailed to the home office or faxed to 800-754-6370. The form warns that any ownership change removes all existing owners and contingent owners unless they are re-affirmed on the form, requires the new owner’s signature, and requires form 433-042 or 433-043 when the new owner is a trust, corporation or other entity. Beneficiary changes are handled separately on form 433-64. Changes take effect when recorded at the home office. Confirm current forms and procedures with the company; they can be revised at any time.
Frequently Asked Questions
Can I sell a Farm Bureau Life term policy without converting it?
Almost never. Term coverage has no cash value and ends on a fixed date, so an institutional buyer has nothing to hold. If the contract still allows conversion to a permanent plan, the converted policy can be evaluated in the settlement market. If the conversion window has closed, there is generally no sale available.
Where do I find my conversion deadline?
It is in the conversion or exchange provision of your own contract, usually stated as both an age limit and a number of years from the policy date, with whichever comes first controlling. Farm Bureau Life does not publish these terms online. Confirm the exact date in writing with life and annuity client service at 800-247-4170.
What would my term policy convert into?
That depends on the plans the company makes available for conversion. As of July 2026 Farm Bureau Life’s consumer site states it offers term life, whole life and indexed universal life. Whole life carries a guaranteed cash value and level premium; indexed universal life is flexible-premium with charges that rise with age. Ask for a written quote for each option at your current age.
Does converting require a new medical exam?
The purpose of a conversion privilege is to allow the exchange without new evidence of insurability, which is precisely why it is valuable to someone whose health has declined. Contract terms vary, so confirm with the company whether your specific policy permits conversion without underwriting and whether any portion of the coverage is excluded.
Does Pine Lake buy term policies?
No. Pine Lake Life Solutions does not purchase policies of any type and is not affiliated with Farm Bureau Life Insurance Company. We provide a free, no-obligation review to help you identify your conversion deadline and compare your options before it expires.
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Related Reading
- Sell My Farm Bureau Life Whole Life Policy
- Sell My Farm Bureau Life Universal Life Policy
- How Do Life Settlements Work
- Is A Life Settlement Right For You
- Life Insurance After 65
- How Health Affects Life Settlement Value
- Sell My Banner Life Term Policy
Pine Lake Life Solutions does not purchase life insurance policies and does not provide legal, tax, or investment advice. Information provided is for educational purposes only. Eligibility for any option, including life settlements, is not guaranteed and depends on individual circumstances, policy terms, underwriting, and market conditions. Consult independent legal, tax, or financial professionals before making decisions regarding a life insurance policy.