62. Every group life insurance contract must give a participant who ceases to belong to the group before age 65 the option to convert all or part of the participant’s life insurance protection or, as the case may be, that of the participant’s family and dependants, into an individual life insurance contract.
The amount of insurance on the participant’s life that may be converted must be at least $10,000 and may not exceed the lesser of the amount of all the life insurance protections that the participant held under the contract on the conversion date and $400,000.
In addition, the amount of life insurance that may be converted must be at least $5,000 for each family member and each dependant, without exceeding the amount of insurance on the life of those persons on the conversion date.
That conversion option may be exercised by the participant within 31 days after leaving the group, without the participant having to provide evidence of insurability, including for the family and dependants. The group insurance coverage remains in force during that period or until converted into individual insurance.
The conversion option does not apply to sickness or accident insurance incidental to the life insurance contract.