1. When Texas group life coverage ends, a covered employee generally may convert to an individual policy:

Without evidence of insurability within a set period

A terminating group certificateholder may convert to an individual policy without proving insurability.

2. A lender requires credit life insurance as additional security for a loan. Under Texas law, the borrower:

May provide the coverage through an existing policy or any authorized insurer

When credit life or credit A&H insurance is required as security for a debt, the debtor may provide it through an existing policy or a policy from any authorized insurer.

3. A Texas group life policy must give the policyholder a grace period for premiums (other than the first) of:

31 days

Group life policies must allow a 31-day grace period during which death benefit coverage continues unless the policyholder gives written notice of discontinuance.

4. When a Texas group life policy itself terminates, an insured who has been covered for at least five years may convert, but the group policy may limit the converted amount to the lesser of the lost coverage (less new group coverage) or:

$2,000

On termination of the group policy, insureds covered at least five years have a conversion right that the policy may limit to $2,000 or the lost coverage, if less.