Can I Sell My Resolution Life Term Life Policy? (2026 Guide)

The One-Paragraph Version

Term insurance has no cash value. There is nothing to surrender and nothing for a buyer to hold. So a straight term policy, on its own, is generally not sellable. What is sellable is a permanent policy — and most term contracts include a conversion privilege that lets you exchange your term coverage for permanent coverage from the same carrier without a new medical exam. Convert first, then sell the permanent policy. That two-step is how term owners access a settlement, and it only works while the conversion window is open.

Why the Conversion Deadline Expires Quietly

Nobody calls to tell you your conversion privilege is about to end. There is no notice requirement in most contracts, no reminder letter, and in a run-off block there is no agent monitoring your file. The privilege simply lapses on its date.

Conversion deadlines are usually written one of two ways, and many contracts use whichever comes first:

• Age-based: convertible until the insured reaches a stated attained age — commonly somewhere in the 65 to 70 range, though it varies widely by contract and issue year.
• Duration-based: convertible during the first set number of policy years, or through the end of the level-premium period.

Some contracts also limit what you can convert into, restricting you to a specific permanent product the carrier designates. In a run-off block, that designated product may itself be a legacy product. This is exactly the kind of detail you want in writing from the service center, not from memory.

The practical takeaway: if you are in your 60s and holding convertible term you no longer need, find out your date this month. Once it passes, the policy is very likely worth nothing but the peace of mind it provides until it expires.

How to Find Out Whether Your Term Policy Is Still Convertible

Three places to look, in order of reliability:

1. The policy schedule page. Look for a section labeled Conversion Privilege, Convertibility, or Exchange Option. It will state the last date or attained age.
2. Your most recent annual notice or premium statement. Some servicers print convertibility status; many do not.
3. The service center directly. Call the number on your current premium notice and ask three specific questions: Is this policy still convertible? Through what date or age? Which permanent products am I eligible to convert into? Ask for the answer in writing or by secure message.

If your policy was originally issued by a different insurer and later transferred, the conversion rights are still those of your original contract. They travel with the policy. The run-off servicer administers them; it does not rewrite them.

Situation	Sellable?	What to Do First
Term still convertible, insured 65+	Often yes	Get the conversion deadline in writing, then request a review
Term convertible, serious health impairment	Frequently yes, and often for more	Request a review before converting
Conversion window closed, insured healthy	Generally no	Decide whether to keep coverage to term expiry
Face amount under $100,000	Usually not economical	Consider keeping or letting it run out
Return-of-premium term	Depends on contract	Compare the ROP benefit against any offer

The Health Exception: When Term Matters Even Without Conversion

There is a second path worth knowing about. If the insured has developed a serious health impairment, a term policy can occasionally attract interest even in unusual circumstances — because life-expectancy estimates, not cash value, drive settlement pricing. A significantly shortened life expectancy combined with remaining level-term years and an open conversion right can produce meaningful value that a healthy insured’s identical policy would not.

That is not a promise, and it is not a reason to delay. It is a reason to have the policy reviewed rather than assuming term is automatically worthless. A free review costs nothing and takes days, not weeks.

What Conversion Actually Costs You

Converting is not free, and you should understand the trade before you do it:

• Premiums rise, often sharply. Permanent coverage at an attained age in the 60s or 70s costs far more per year than the term premium you have been paying.
• Your original health class carries over. This is the valuable part. No exam, no new underwriting — you convert at the class you were rated when the term policy was issued, which for someone whose health has since declined is worth a great deal.
• You may convert only part of the face amount. Many contracts permit partial conversion, which can be a way to convert only as much as a settlement transaction actually needs.
• Timing matters. In a settlement scenario the conversion and the sale are typically coordinated so you are not carrying an expensive permanent premium for long.

Do not convert on your own initiative just because you read a web page. Get the policy reviewed first so you know whether a settlement is realistic — converting a policy nobody will buy just means you paid more for coverage you did not want.

Timing, Documents, and What Happens Next

Because conversion adds a step, term transactions run at the longer end of the normal range — plan on 60 to 120 days, sometimes more if the service center is slow to issue the converted contract.

What to gather: the term policy cover page and schedule page (for the conversion terms), your most recent premium notice, and eventually a HIPAA authorization so underwriters can estimate life expectancy. Once the converted permanent policy is issued, an in-force illustration on that new contract becomes the pricing document — see what an in-force illustration is.

The rest of the process mirrors any settlement: offers in writing, independent escrow holding your funds, ownership and beneficiary change recorded by the servicing company, then release of payment, followed by a state rescission window. Never sign over ownership before escrow is funded.

Is It Worth It? An Honest Screen

Term settlements work best when several things are true at once: the insured is roughly 65 or older, the death benefit is $100,000 or more, the conversion privilege is still open, and the coverage is genuinely no longer needed. They work poorly when the conversion window has closed, the face amount is small, or the family still depends on the coverage and the premium is affordable.

If the answer is no, the honest answer is no — and you will hear it. For the broader qualification screen, see what policies qualify and is a life settlement worth it. If you hold permanent coverage on the same block, our guides to selling a universal life policy or a guaranteed universal life policy apply instead. Free review: send the policy cover page, or call (305) 209-7183.

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Frequently Asked Questions

Can I sell a term life policy that has no cash value?

Usually only after converting it to permanent coverage. Term by itself has nothing for a buyer to hold, so the conversion privilege in your contract is what makes a sale possible. If that privilege is still open, the policy may well be sellable.

How do I find my conversion deadline?

Check the policy schedule page for a Conversion Privilege or Exchange Option section, which states a last date or attained age. If you cannot find it, call the service center listed on your current premium notice and ask for the deadline in writing, along with which permanent products you may convert into.

Does Resolution Life need to approve the sale?

No. The carrier is not a party to the decision and its permission is not required to sell the policy. Its role is administrative — processing the conversion request, if any, and recording the ownership change after closing.

Do I have to convert the entire face amount?

Many contracts allow partial conversion, which can keep the new permanent premium manageable while still creating a policy large enough to be worth selling. Confirm your specific contract’s rules with the servicing company, since partial-conversion rights vary by policy.

Will converting require a new medical exam?

Generally no — that is the point of a conversion privilege. You convert at the health class assigned when the term policy was originally underwritten, without new medical underwriting. That is especially valuable if your health has declined since the policy was issued.

My policy was issued by a different company originally. Whose rules apply?

Your original contract’s rules. When a block of policies is transferred to a run-off company, the terms and guarantees travel with the contract. The servicing company administers those terms; it does not change them.

How long does a term-to-settlement transaction take?

Typically 60 to 120 days, and sometimes longer because conversion adds a step. The converted permanent policy has to be issued before the settlement can be priced and closed, so start well before any conversion deadline.

What should I send for a free review?

The policy cover page and, if you have it, the schedule page showing conversion terms. That is enough for a specialist to tell you whether the policy is a realistic candidate. There is no cost and no obligation.

Related Reading

• What Policies Qualify For Life Settlement
• Is A Life Settlement Worth It
• What Is An In Force Illustration
• Education Center
• Sell My Resolution Life Universal Life Policy
• Sell My Resolution Life Guaranteed Universal Policy

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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.