In a term life insurance policy, what happens at the end of the term?

At the end of a term life insurance policy, the coverage indeed concludes with no payout if the insured individual has not passed away during the term. Term life insurance is designed to provide coverage for a specific period, usually ranging from one to thirty years. Throughout this term, the policyholder pays premiums for the protection of a death benefit, but if the insured does not die within that time frame, the insurance contract simply expires. The policyholder does not receive any return of premiums or cash value at this point, which distinguishes term life insurance from whole life insurance or other permanent policies that may have savings components.

In some cases, term policies may include options to renew or convert to a whole life policy, but unless specifically stated, these options do not apply universally to all term policies.