MANAGEMENT

Detailed explanation-1: -Surrender refers to the policyholder’s request to exit the policy before maturity. Every policyholder can choose to surrender the policy before the policy tenure is over. Surrendering life insurance effectively cancels the benefits immediately.

Detailed explanation-2: -Surrendering a life insurance policy means canceling the policy and receiving its surrender value, which is the cash value minus any surrender fees. If you go this route, the coverage ends. Your beneficiaries will not receive a death benefit when you die.

Detailed explanation-3: -What is a Surrender Value? A surrender value is usually the sum owed by the life insurance provider when you decide to surrender or give up on your life insurance policy. Whenever you surrender your life insurance policy, you receive a certain amount of premiums that you regularly paid back from the insurance provider.

Detailed explanation-4: -Can you surrender a term life insurance policy? Yes, you can! But with that, the value of the policy is bound to decrease. The sum which the insurance company pays to you after you surrender the policy is called the cash surrender value.

Detailed explanation-5: -Surrendering a whole life insurance policy means you are cancelling the policy. Instead of your beneficiaries receiving the death benefit, you as the policyholder will receive the cash value your whole life insurance policy has built up over time.