Yes – a Fidelity & Guaranty Life term policy can be sold in a life settlement, but almost always only after it has been converted to permanent coverage, since a policy that expires on a set date gives a buyer nothing lasting to purchase. Your legal right to sell is not in question and F&G’s permission is not required. The question is whether the conversion privilege in your contract is still open.
That makes term the most deadline-driven policy in the secondary market. Conversion rights end at a stated age or after a set number of policy years, and once they lapse, the coverage becomes essentially unsellable regardless of the insured’s health. If you are weighing whether to keep paying, look up that date before you do anything else.
This 2026 guide explains F&G’s corporate background, how conversion turns a term policy into a marketable asset, what converted policies realistically fetch, and when the answer is simply no. Pine Lake Life Solutions is not affiliated with F&G.
In This Article
- Whose Company Is This? F&G’s Corporate Story
- F&G’s Business Mix and What It Means for Term Owners
- No Cash Value Means the Conversion Right Is the Value
- The Deadline, and Why It Cannot Be Argued With
- What a Converted F&G Term Policy Could Be Worth
- Documents and the Order of Operations
- When You Will Be Told No
- Frequently Asked Questions
Whose Company Is This? F&G’s Corporate Story
Fidelity & Guaranty Life – branded today as F&G Annuities & Life and based in Des Moines, Iowa – traces its lineage to a Fidelity and Guaranty life insurance business historically associated with Baltimore, Maryland. It has no relationship to Fidelity Investments, despite the name. Verify the exact issuing company printed on your policy pages with F&G’s service center.
The company has been owned by the U.K.’s Old Mutual, then HRG Group, and since 2020 by Fidelity National Financial, with a portion of F&G’s shares later listed on the New York Stock Exchange while the parent kept majority control. Verify the current structure and the A.M. Best rating on F&G’s own site. Ownership changes above your contract do not affect the contract itself or your right to sell it.
F&G’s Business Mix and What It Means for Term Owners
F&G’s book has historically leaned heavily toward annuities and indexed life products rather than large blocks of individual term insurance – verify current product lines with the company. For a term policyholder, the practical takeaway is to confirm exactly which product you own and what conversion options are available under it today, because the permanent products a term policy can convert into are the ones the carrier offers at the time of conversion, not the ones that existed when you bought.
Ask directly: which permanent policies is my term contract convertible into right now, and what is the premium at my current age? The answer determines whether a settlement is even feasible, because the buyer will be inheriting that premium obligation.
No Cash Value Means the Conversion Right Is the Value
Term insurance is pure protection with no savings component. There is no account value, no surrender payout, nothing to borrow. If you stop paying, coverage ends and nothing comes back. That is why buyers will not price an unconvertible term policy: they would be acquiring a contract with a built-in expiration date.
The conversion privilege changes the picture entirely. It lets you exchange the term policy for permanent coverage, typically without new medical underwriting and generally at the risk class you were originally issued. That last point is significant – an insured whose health has deteriorated keeps the favorable original class, which is often what makes the resulting policy attractive to a buyer. Conversions are frequently coordinated as part of the settlement itself.
| Question to Answer | Where to Find It | Why It Decides the Outcome |
|---|---|---|
| Is my term policy convertible? | Contract pages or conversion rider | Unconvertible term is generally unsellable |
| When does the conversion window close? | F&G service center, in writing | Missing the date removes the option permanently |
| Which permanent products can I convert into? | F&G service center | Determines the future premium a buyer inherits |
| What is the death benefit? | Policy cover page | Under about $100,000, buyers generally pass |
| Has the insured’s health declined? | Medical records, life expectancy assessment | The single largest driver of any offer |
The Deadline, and Why It Cannot Be Argued With
Conversion windows are contractual. They commonly end at a specified attained age, after a set number of policy years, or at whichever comes first. There is no appeal, no grace, and no exception once the date passes. Read your conversion rider, then call F&G’s service center and ask them to confirm the final conversion date in writing.
Think of the window as a countdown on an asset that is otherwise worth zero. A 76-year-old with an open window and a 78-year-old whose window closed last year may have identical health, identical policies, and completely different options. If yours is closing within a year or two, treat this as urgent rather than something to think about after the holidays.
What a Converted F&G Term Policy Could Be Worth
After conversion, valuation follows the standard factors: death benefit, the insured’s age and health, and what it will cost to keep the permanent policy in force. Across the market, life settlement proceeds have generally landed in a range of about 10% to 35% of the face amount, with the strongest offers going to insureds whose health has declined substantially since underwriting.
Hypothetically: a $500,000 convertible term policy on a 78-year-old with serious health problems might convert to a universal life contract and then attract an offer around $85,000, roughly 17% of face. Because term has no surrender value, there is no multiple to compare – the alternative was letting the policy lapse for nothing. That is the whole argument for checking before the window closes.
Documents and the Order of Operations
Collect the policy cover page, the current premium notice, and the conversion rider or the contract page describing conversion rights. After conversion, you will also need an in-force illustration for the new permanent policy at current charges. Pine Lake’s free review starts from the cover page alone and creates no obligation.
Sequence matters: confirm the conversion window, complete the conversion, obtain a life expectancy assessment from medical records, review offers, then close with a change of ownership and beneficiary change recorded by F&G. Plan on roughly 60 to 120 days for the settlement portion plus the carrier’s own conversion processing time. Most states also give sellers a rescission period after funding – confirm the rule where you live.
When You Will Be Told No
An honest reviewer will tell you plainly when a policy will not sell: an expired conversion window, a death benefit under about $100,000, or an insured in good health with a long expected horizon. None of those are negotiable through shopping harder.
What is still available in those cases: reducing the face amount to make premiums affordable, converting only part of the coverage into a smaller permanent policy, checking the contract for an accelerated death benefit rider if illness is the issue, or simply keeping the coverage if someone depends on it. A licensed insurance professional can lay out those options, and an elder law attorney should be involved anywhere Medicaid eligibility is a factor. This page is education, not advice.
Frequently Asked Questions
Can an F&G term policy be sold without converting it?
Almost never. Term insurance has no cash value and expires at the end of the term, so there is nothing durable for a buyer to purchase. Converting to permanent coverage removes the expiration date and makes the policy priceable.
How do I find out whether my policy is still convertible?
Check the conversion rider or the contract pages, then call the number on your most recent premium notice and ask F&G to confirm the final conversion date in writing, along with which permanent products are currently available to you.
Will I have to take a medical exam to convert?
Conversion privileges usually allow the exchange without new medical underwriting and typically preserve the risk class from the original policy. Rules vary by product, so confirm the specifics with F&G rather than assuming.
Does F&G have to agree to the sale?
No. The buyer purchases the contract from you. F&G’s role is to process the conversion and later record the change of ownership and beneficiary on its own forms.
Is F&G connected to Fidelity Investments?
No. They are unrelated companies. F&G is a life insurance and annuity company based in Des Moines, Iowa, whose parent since 2020 has been Fidelity National Financial. Verify the current corporate details with the company directly.
What might a converted term policy be worth?
It is priced like any permanent policy. Settlement proceeds across the market have generally fallen between about 10% and 35% of the death benefit, with age and health decline mattering most. Since term has no surrender value, the practical comparison is a lump sum versus letting the coverage lapse.
How long does everything take?
Budget roughly 60 to 120 days for the settlement process, plus the carrier’s processing time for the conversion at the front end. Medical record retrieval is usually the slowest single step.
Is Pine Lake affiliated with F&G?
No. Pine Lake Life Solutions is independent and has no affiliation with F&G. Send the policy cover page for a free review, or call (305) 209-7183.
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Related Reading
- What Policies Qualify For Life Settlement
- How It Works Policy Options
- Life Settlement Vs Surrender
- What Is A Rescission Period
- Education Center
- Sell My Fidelity Guaranty Whole Life 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.