What is the primary difference between attained age conversion and original age conversion?

The primary difference between attained age conversion and original age conversion lies in the age at which the premium rates are calculated for converted policies. In attained age conversion, premiums are determined based on the current age of the policyholder at the time of conversion. This means that as the policyholder ages, the cost of their life insurance will reflect their present age, which could result in higher premiums compared to what they would have paid when they first took out the policy.

On the other hand, original age conversion bases the premiums on the age the policyholder was when they initially purchased the insurance. This can often lead to lower premiums since they are calculated using the younger age of the policyholder, regardless of how much time has passed since the original policy was issued.

In summary, attained age conversion focuses on the policyholder's current age, which directly influences the cost of the policy, while original age conversion locks in the premiums at the age the policy was bought, potentially offering a financial advantage.