What typically happens if the insured does not die during the term of a term life insurance policy?

In a term life insurance policy, the coverage is designed to provide a death benefit for a specified period, known as the term. If the insured does not pass away during this period, the policy simply expires at the end of the term without any benefits being paid. This is a fundamental characteristic of term life insurance; it serves as a safety net for loved ones in the event of the insured's untimely death but does not have any cash value or refund provisions if the term ends without a death claim.

This structure differentiates term life from other types of life insurance, such as whole life policies, which provide lifelong coverage and may accumulate cash value or be refundable in certain cases. Options that suggest a refund of premiums, automatic conversion to whole life, or contributions to a retirement account misrepresent the typical outcomes of a standard term life insurance policy. Each of these alternatives is not aligned with how a term policy operates, reinforcing that, upon reaching the end of the term with no death benefit paid, the policy simply ceases to exist.