Which of the following is TRUE concerning the conversion of group life insurance coverage to an individual policy?

This statement is misleading because the option to convert group life insurance to an individual policy typically applies only under specific circumstances, such as when employment ends or when the group policy itself is terminated, not every time life insurance coverage ends.

This choice is incorrect as well; while individuals may have the option to convert their policy, they do not automatically receive a paid-up policy. The conversion process requires the individual to apply for the new policy, and the terms may vary based on the insurer's policies.

This statement is false because premiums for the converted individual policy are often higher than those of the group policy. The increased cost reflects the individual’s risk factors and the lack of group underwriting, meaning premiums are not guaranteed to remain the same.