Can Whole Life Insurance Be Converted To Term? 
Traditionally , you can not convert a whole life policy to term . However , one of three options is available to you if you decide you no longer want whole life coverage . One involves converting a whole life policy to an extended term policy . This uses present cash value of the policy to cover the cost of an extended term policy of the same face value . This new coverage only lasts as long as there is sufficient cash value to sustain it . It is usually specified in the policy in terms of the amount of cash value relating to a specific term of coverage . For example , if you have a policy with a $ 25,000 face value and $ 2,000 cash value , this illustration will show how long $ 2,000 will cover the cost of an extended term policy of $ 25,000 face value . Whether the term is 3 years , 5 , or 10 years , coverage ends when the $ 2,000 runs out . Just FYI , the other two options are paid up insurance of a lesser face value -LRB- whatever amount $ 2,000 will purchase -RRB- , or a lump sum payment of the $ 2,000 to the policy owner . 