You can cash in your life insurance if there is any cash value, minus surrender charges and fees. If you want money from your life insurance policy, it might be better to take out a loan on the cash value. If you are unable to pay the premiums any more, it may work to change it to a reduced paid up policy.
Permanent, cash value life insurance offers options of which the policy holder is often unaware. Before you cash in your policy and lose the coverage altogether, discuss your options with the agent who sold the policy to you, or call the company through which it was issued. You can even contact another agency you trust to help you with that decision. They are ethically bound to help you keep it if that is in your best interest.
Syndicated Financial Columnist, Host of the weekly talk show Steve Savant's Money, the Name of the Game, Scottsdale Arizona
Life insurance is personal property and an asset. The policy owner can cash in the policy. The first consideration is surrender charges. If you cash in your policy, i.e. terminate it, you may pay surrender charges and lose coverage. You also may haven ordinary income tax bill for any gain in the contract. Before you move forward with cashing in your policy, check with the company for all the consequences of surrendering your contract.
.JPG){kind=avatar}
Permanent, cash value life insurance offers options of which the policy holder is often unaware. Before you cash in your policy and lose the coverage altogether, discuss your options with the agent who sold the policy to you, or call the company through which it was issued. You can even contact another agency you trust to help you with that decision. They are ethically bound to help you keep it if that is in your best interest.