What type of policy allows the policyowner to exchange a term policy for a cash value policy?

A level term policy maintains the same premium and death benefit throughout the term. However, it does not offer any conversion options to a cash value policy. The primary focus of a level term policy is to provide straightforward temporary coverage without the additional feature of converting to a permanent plan.

A renewable term policy allows the policyowner to renew their coverage at the end of the term without requiring a health assessment. While this provides flexibility in continuing coverage, it does not permit a conversion to a cash value policy, which is the key feature sought in the question.

A whole life policy is a type of permanent insurance that inherently includes cash value accumulation from the start. It is not a term policy and does not involve the exchange of a term policy. Instead, it offers lifelong coverage and cash value inherently, making it unrelated to the question regarding the conversion of term policies.