Endowment Surrender

endowment surrenderEndowment Surrender

Endowment surrender back to your insurance company is an option you have if you wish to cash in your policy before maturity. When you request a surrender value, in many cases you will get a valuation based on what you have invested and not much else, which could be less than you expect.

If you are considering endowment surrender, it is worth getting a quote from an endowment buyer as you may get more taht way. Selling rather than surrendering your endowment may give you a better return because:

  • Buyers like endowment policies because they have potential eventual value over long periods, and have other features like partially-assured growth and tax benefits
  • Your endowment policy might not be worth as much as you hoped and could leave you with a shortfall for repaying your mortgage
  • You could get more by selling your policy through a specialised buyer than you would from an endowment surrender