Under what condition can one convert term life insurance into a permanent plan?

The ability to convert term life insurance into a permanent plan primarily hinges on the provisions explicitly stated in the insurance policy. This means that the policy must contain a conversion option that outlines the circumstances under which the term can be converted.

When the policy specifies conversion rights, it typically includes details such as the time frame during which conversion is allowed and the type of permanent plans available for conversion. This clause protects the policyholder’s interests by ensuring they have the option to secure lifelong coverage as their circumstances change, provided the policy permits it.

The other options present scenarios that might seem plausible but lack the foundational support that comes from the clear terms laid out in the policy. For instance, converting at the insured's discretion does not universally apply unless the policy allows it, and factors such as age or additional premiums can vary. Thus, having the conversion clearly specified in the policy is the key determinant for a successful conversion from term to permanent insurance.