Final answer:
Conversion from a term life policy to a whole life plan is allowed without evidence of insurability, providing continuous coverage despite health changes.
Step-by-step explanation:
The type of policy conversion that is allowed without evidence of insurability is B. Conversion from a term life policy to a whole life plan. This means that an individual with a term life insurance policy can convert their coverage to a permanent whole life policy without having to prove that they are still in good health. This option is typically built into term policies and is known as a term conversion or conversion privilege, allowing the policyholder to maintain continuous coverage despite health changes that could otherwise make them uninsurable.