What are the rules revolving around endowment plan policy surrendering?

Hi Anonymous,

As what Jonathan mentioned, you can surrendering your endowment policy anytime. If you do so prematurely, especially within the first 2 years, the surrender value is likely to be $0 . It is best that you seek advice from your FC again to see how to move forward with regards to your insurance policies.

Before you sign up an endowment policy, ensure that you understand the policy illustration, including but not limited to:

• Distribution cost table

• Effect of deductions table

• Surrender value table

Also, ensure that you understand the following clause which is included in all endowment policies:

Buying a life insurance policy is a long-term commitment. An early termination of the policy usually involves high costs and the surrender value payable (if any) may be less than the total premiums paid.

Disclaimer: PolicyWoke is a traded endowment policies broker.

Technically, you can surrender your endowment policy at any time. However you'll receive nothing back right now if it is surrendered right now. Cash value in the policy is only attained after the 2nd year anniversary.

You can try treating it as a form of forced savings as an alternative and sell it off to a third party broker like Policywoke or REPS after the 2nd year once there's cash value.