Yes — a MetLife term life policy can be sold in a life settlement, but almost always only while it can still be converted to permanent coverage (or when the insured has a serious health impairment). Any carrier’s policy can be sold if the policyholder and policy qualify; the buyer purchases the contract from you, and MetLife’s or Brighthouse’s permission is not needed. With term, though, the clock is the whole story: term insurance has no cash value, so once the conversion privilege expires, the policy usually has nothing left for a buyer to purchase.
A quick note on names: MetLife spun off its U.S. retail life business into Brighthouse Financial in 2017, so most individual MetLife term policies are now serviced by Brighthouse. Owners are often unsure who actually holds their policy — check your latest premium notice, and confirm your conversion deadline with the servicing company as of 2026, because that date decides everything.
This guide explains how term settlements work, why the conversion deadline creates real urgency, and what to do if your term policy is about to expire worthless. Pine Lake Life Solutions is not affiliated with MetLife or Brighthouse Financial.
In This Article
- Why Term Is Different: No Cash Value, One Exit
- The Conversion Deadline: Find Yours Before Anything Else
- When an Unconvertible Term Policy Can Still Sell
- What a Converted MetLife Term Policy Could Be Worth
- Steps and Timeline for a Term Settlement
- MetLife History Worth Knowing: Demutualization and the Spinoff
- Decision Checklist for MetLife Term Owners
- Frequently Asked Questions
Why Term Is Different: No Cash Value, One Exit
Whole life and universal life build internal value you can surrender for cash. Term does not — it is pure protection for a set period, and if you outlive the term, the policy simply ends. That means a term policyholder who no longer wants or can afford the coverage normally has exactly one way to monetize it: convert the policy to permanent coverage and sell the converted policy in a life settlement, often in a single coordinated transaction.
This is why the conversion privilege in your contract matters more than any other feature. It is also why so many families lose real money without knowing it: they let a convertible term policy lapse or expire, walking away from an asset a buyer might have paid meaningful cash for. Before you stop paying premiums on any MetLife/Brighthouse term policy covering an insured in their senior years, get it reviewed — the review is free, and the alternative to selling is usually receiving nothing at all.
The Conversion Deadline: Find Yours Before Anything Else
Term conversion rights are not uniform. Depending on the product, conversion may be allowed for the full level-premium period, only for the first 5 or 10 years, or only until the insured reaches a stated age — often somewhere between 65 and 75. Some MetLife-era products differ from later Brighthouse products, and riders can modify the window.
Do not rely on memory or a decades-old sales illustration. Call the servicing company — Brighthouse for most former MetLife retail policies since the 2017 spinoff — and ask three questions in writing: Is my policy currently convertible? To which products? And what is the exact final conversion date? Confirm the answers with the carrier as of 2026. If the deadline is months away, you still have time to run a proper settlement process. If it is weeks away, the review needs to start now, because underwriting and conversion paperwork both take time.
When an Unconvertible Term Policy Can Still Sell
There is one meaningful exception to the conversion rule. If the insured has a serious health impairment — a significant decline since the policy was issued, such as a terminal or life-shortening diagnosis — a buyer may purchase a term policy even without conversion, betting that the remaining term outlasts the insured’s life expectancy. These are case-by-case transactions and less common than conversion-based sales, but they are real, and they can matter enormously to a family facing end-of-life costs.
Related but distinct: some term policies carry an accelerated death benefit rider that pays a portion of the death benefit directly from the insurer upon terminal illness. Compare any settlement offer against that rider before selling. Our overview of policy options lays out the alternatives side by side; describing them to your own advisor is worthwhile before any decision.
| Term Policy Situation | Can It Usually Be Sold? | What to Do |
|---|---|---|
| Convertible, deadline more than 6 months out | Yes — strongest position | Run a full settlement review; coordinate conversion with the sale |
| Convertible, deadline within 60–120 days | Yes, but time-critical | Start the review immediately; the process itself takes 60–120 days |
| Conversion window expired, insured healthy | Rarely | Little for a buyer to purchase; review alternatives with your advisor |
| Conversion window expired, serious health impairment | Sometimes | Case-by-case sales exist; also compare accelerated death benefit riders |
| Any term policy about to lapse for non-payment | Depends on the above | Get a free review before stopping premiums — lapse pays you nothing |
What a Converted MetLife Term Policy Could Be Worth
Once converted, the policy is permanent coverage and prices like any other settlement candidate. The federal GAO’s study (GAO-10-775) found sellers typically received about 10% to 35% of face value — on average roughly 4 to 8 times what cash surrender would pay. For a freshly converted policy the comparison is even starker, because a term policy’s surrender value is zero: whatever a buyer offers is money the family otherwise would never see.
Buyers weigh the insured’s age and health, the death benefit (generally $100,000 and up for institutional interest), and the premium schedule of the product the policy converts into. Conversion premiums at advanced ages are substantial, and in many transactions the buyer effectively takes on that premium burden as part of the deal structure. This is one reason to work the process before the deadline rather than converting on your own first — converting without a committed buyer means fronting permanent-policy premiums yourself. See what policies qualify for the full screening criteria.
Steps and Timeline for a Term Settlement
A term-conversion settlement adds one step to the standard process:
- 1. Free review. Send the policy cover page — insurer, policy number, face amount, issue date. Days, not weeks.
- 2. Conversion verification. Confirm the conversion deadline and eligible products with Brighthouse/MetLife in writing.
- 3. Underwriting. Medical records and life-expectancy estimates, as with any settlement.
- 4. Offer, conversion, and closing coordinated together. Purchase agreement signed, the conversion is executed, ownership changes, and your funds release from independent escrow once the insurer confirms the transfer.
Plan for 60 to 120 days end to end — which is exactly why a conversion deadline inside that window is an emergency. Your right to sell rests on Grigsby v. Russell (1911), which confirmed a life insurance policy is transferable personal property.
MetLife History Worth Knowing: Demutualization and the Spinoff
Two corporate events shape what MetLife term owners encounter. First, MetLife demutualized in 2000; policyholders at the time received stock or cash for their mutual ownership rights. If your household held MetLife coverage before 2000, confirm those shares were claimed — they are a separate asset and are unaffected by anything you do with the policy now. Second, the 2017 spinoff moved most individual retail policies to Brighthouse Financial for administration, which is why your term policy may say MetLife while your bills say Brighthouse.
Neither event weakens your rights. Both are simply reasons to verify details with the current servicing company rather than assuming: which company administers the policy, what the conversion terms are, and where to send any change-of-ownership paperwork. Pine Lake is not affiliated with either company; our role is reviewing the policy and walking you through options, including options that don’t involve selling.
Decision Checklist for MetLife Term Owners
Work through these before letting any senior’s term policy lapse:
- Is the policy convertible right now? Get the deadline in writing from Brighthouse/MetLife.
- Is the death benefit $100,000 or more? Below that, institutional buyer interest thins out.
- Has the insured’s health changed since issue? Health declines increase settlement value — and may make even a non-convertible policy sellable.
- Do heirs still need the coverage? If yes and premiums are manageable, keeping or converting for the family may beat selling.
- Is there an accelerated death benefit rider? Compare it against any offer.
If the answers point toward a sale — or you are simply unsure — send the cover page for a free review or call (305) 209-7183. If you hold other MetLife coverage, see our companion guides on selling a MetLife whole life policy and a MetLife group policy, where the rules differ again.
Frequently Asked Questions
Can I sell my MetLife term life policy?
Usually yes — while it remains convertible to permanent coverage. Any carrier’s policy can be sold if the policy and policyholder qualify, and the carrier’s permission is not needed. Because term has no cash value, the conversion privilege is what gives a buyer something durable to purchase, so the conversion deadline controls your window.
How do I find out my policy’s conversion deadline?
Call the servicing company — Brighthouse Financial for most individual MetLife policies since the 2017 spinoff — and ask for the final conversion date and eligible products in writing. Conversion windows vary by product and can end at a stated age, often between 65 and 75. Confirm the specifics with the carrier as of 2026.
My term policy is about to expire. Is it too late?
Not necessarily, but move immediately. A settlement takes roughly 60 to 120 days, so a deadline inside that window leaves little slack. If conversion has already expired, a sale is usually only possible when the insured has a serious health impairment. A free review will tell you quickly which situation you are in.
Should I convert the policy myself before looking for buyers?
Generally no — talk to the settlement market first. Converting on your own means committing to permanent-policy premiums at senior ages before you know whether an offer justifies it. In a coordinated transaction, conversion and sale close together, so you are not left funding an expensive policy while you wait.
What could a term settlement actually pay?
Once converted, the policy prices like other settlements: the GAO found typical proceeds of 10% to 35% of face value, averaging about 4 to 8 times surrender value. For term the comparison is simple — surrender value is zero, so any offer is money the family would otherwise never receive.
Who services my old MetLife term policy now?
Most individual MetLife retail policies have been administered by Brighthouse Financial since the 2017 spinoff, though the contract still bears the MetLife name. Use the phone number on your most recent premium notice or statement, and confirm the servicer before requesting conversion details.
Does Pine Lake need MetLife’s approval to buy my policy?
No carrier approval is required to sell a policy — the Supreme Court’s Grigsby v. Russell decision in 1911 confirmed a policy is your transferable personal property. Pine Lake Life Solutions is not affiliated with MetLife or Brighthouse; the servicing company’s only role is processing the conversion and ownership change.
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Related Reading
- What Policies Qualify For Life Settlement
- How It Works Policy Options
- Grigsby V Russell Explained
- Life Settlement Vs Surrender
- Sell My Metlife Whole Life Policy
- Sell My Metlife Group 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.