When Do Life Insurance Policies Expire? 
Term life insurance policies expire when the number of years in the term are up . However , Term life insurance usually has the option to be renewed annually beyond the term . If you choose to pay that new , higher premium , the policy will stay in effect . Or you may be able to convert your Term policy to permanent insurance , in which case it would not expire . Term life insurance also expires when you quit paying the premium . Permanent life insurance , such as Whole Life and Universal Life , will expire if you stop paying the premium and there is not enough cash value left in the policy to pay the premium . If you have paid the premium so that policy is `` paid up '' , however , and you have followed the rules for paying back policy loans , permanent life insurance will never expire . 