If an employee leaves the company, how can they change their group coverage to an individual policy?

When an employee leaves a company and wants to convert their group coverage to an individual policy, the conversion privilege is the mechanism that allows for this transition. This provision is commonly included in group insurance policies and enables former employees to obtain an individual policy without needing to prove insurability, meaning they do not have to provide medical evidence or undergo health assessments.

The conversion privilege is especially valuable because it ensures that individuals can maintain their coverage, even after leaving the group plan, which might otherwise terminate due to employment status changes. This privilege typically has specific conditions, such as a time limit within which the conversion must occur after leaving the company. The new individual policy may not have the same benefits as the group plan and could be subject to different terms and conditions, but it provides a crucial opportunity for continued coverage.

Other options listed may not directly pertain to the specific process of converting group coverage to an individual policy. For instance, the policy exchange facility typically involves exchanging one policy for another within the same company rather than converting to an individual plan after leaving employment. The change of plan provision usually pertains to modifications within the existing group coverage rather than a transition to an individual policy. Completing a policy change form might be a part of many administrative processes, but it does