Surrender Value of Whole Life Policy.

[Jsp003]

I have two Whole Life non-participating policies that I would like to surrender. Both are for $1000 and one was paid up in 1978 and one in 1982. I contacted the insurance company and they quoted a surrender value of $536 for each. For the age of the policies and they paid up so long ago does this value seem correct? I have the original table of paid up insurance cash values, but It's difficult to read. Any help would be greatly appreciated.

 

[scagnt83]

Post a scan of the tables and someone can help. But those values sound about right probably for a non-participating policy. Non-Participating means you do not receive Dividends that increase the Cash Value and Death Benefit. So having a Cash Value that is about 50% of the Death Benefit sounds about right.

If you had a "Participating" Policy. The Death Benefit would now be higher along with the Cash Value. Those policies increase greatly over the years. Non-Par policies do not.

 

[Jsp003]

Thank you very much for the information.

 

[BeeSelective]

Sounds right. Would be worth $1,000 at age 100, unless you die first.

 

[pfg1]

But why surrender them? Are you hard up for $?

 

[lcms]

Depending on individual need if you need the cash? Otherwise this is a problem you should just leave as is. It would be more to replace.