Although my situation was different than you guys, what I found, when I was ready to retire, was that I could convert my FedEx Group Policy to a Flexible Premium Adjustable Life Insurance Policy, that was offered by Lincoln National Life Insurance Company, a division of Lincoln Financial Group, which at the time was the company providing our FedEx Group life insurance.
I went out on LTD in 2007 and retired in 2012, while still on LTD. I too was wrestling with which retirement "plan" to take, because you only get one shot at making your selection. Once you retire, you're stuck with your selection, forever. I was leaning toward the Joint and Survivor Annuity 50/50 Benefit, but was also considering taking out life insurance, instead, thereby increasing my take home pay from my FedEx monthly retirement checks.
I ended up going with the life insurance policy mentioned above, not because it saved me money, but because the premiums never change, and I am covered by this policy until my 104th birthday. Another important reason I went this way is that when I die, my wife, or my son will get the face amount of my policy, in a lump sum, tax free!
Because I was on LTD at the time I retired, the individual policy was more expensive than if I had gone back to work and retired. I was told that the conversion to an individual policy from the group policy would have cost me approximately the same in monthly payments, as I had been paying while still flying at FedEx.
By the way, this policy is NOT a Term policy, but a form of Whole Life/Universal Life insurance that doesn't accrue any cash value.
Hope this helps or at least stimulates the discussion.
JJ