What is a major advantage of converting from group life insurance to individual coverage?

Converting from group life insurance to individual coverage primarily allows individuals to obtain a policy without the need for evidence of insurability. This means that when an employee leaves a job or when the group policy is ending, they can transition to an individual policy without having to undergo medical underwriting or provide health information.

This is particularly beneficial for individuals who may have developed health issues since initially obtaining their group insurance, making them a higher risk to insure. By eliminating the evidence of insurability requirement, it ensures that they can secure coverage despite any changes in their health status. This advantage can provide peace of mind, ensuring continuity of coverage even in the face of potential health challenges that could complicate obtaining new individual coverage.

Other options, such as lower monthly premiums or higher coverage limits, may not be guaranteed when transitioning to individual plans, and immediate payment of benefits is a feature that is typically defined by the terms of the policy rather than a benefit of the conversion process.