0
Can a insured surrender a whole life insurance policy if you are not the policyholder?
Wiki User
∙ 14y ago
No.
Policyholder is the owner of the contract, he only has to surrender.
But in extreme cases, where the owner is medically not fit (E.g. if he's in Koma), practice varied from company to company.
Wiki User
∙ 14y ago
Add your answer:
Earn +20 pts
What is a Additional named insured?
Individual added to a life insurance policy other than the insured named in the policy. For example, an insured father can have a dependent son and daughter added to the policy as additional insureds. In many instances, adding an additional insured to an existing policy is less expensive than purchasing a separate policy for that insured. In property and liability insurance: another person, firm, or other entity enjoying the same protection as the named insured.
What is an insurance reinstatement?
When a insured person is not able to pay his/ her premium on time then his/her policy got surrendered by the insurance company. If after some time that insured person comes to company and ask to revive the policy then this revival/ reactivation is called reinstatement of the policy.
Which type of insurance dose not build a cash value for the in sured?
Pure term life insurance. In this kind of policy, there is no cash value of the policy for the insured. The policy holder gets no tangible or monetary benefits as long as he/she is alive. Only the survivors of the insured can reap the benefits of this kind of policy. So, we can say that this type of policy has no cash value for the insured individual.
What is non-participating policy in life insurance?
A policy where the insured does not receive dividends due to non-participation.
Who is NOT an insured on a homeowner policy?
The insured's are those specifically named on the insurance policy, Typically the homeowner(s) and dependent children would be construed as the insured's as well as listed lien or mortgage holders. Anyone not named would not be insured
What is Cash Surrender Value?
The cash surrender value is the sum of money an insurance company will pay to the policyholder or annuity holder in the event his or her policy is voluntarily terminated. This is only before its maturity, or if the insured event occurs.
What does Additionally Insured on a Vehicle Insurance Policy mean?
The person who took out the policy is the main or policyholder. Any persons added to the policy are considered additionally insured.
What is surrender value?
The sum of money an insurance company will pay to the policyholder or annuity holder in the event his or her policy is voluntarily terminated before its maturity or the insured event occurs. This cash value is the savings component of most permanent life insurance policies, particularly whole life insurance policies. Also known as "cash value", "surrender value" and "policyholder's equity".
Which of the following statements is NOT true about an insurance policy?
An insurance policy actually protects the policyholder's financial interests in the insured item, not the insured item itself. The insurer holds the balance of power in the creation of an insurance policy. Ambiguities in contracts of adhesion often favor the insured. The concept of utmost good faith only applies to the insured.
Who takes over a life insurance policy when the policy holder dies?
If the policyholder (policy owner) is also the insured, then no one does. The policy proceeds (assuming the policy is in force at the time of death) are paid according to the designated beneficiary(ies), and the contract ceases to exist. If the policyholder (owner) is not the insured, then the policy ownership would flow according to the owner's will.
What is surrendered?
The sum of money an insurance company will pay to the policyholder or annuity holder in the event his or her policy is voluntarily terminated before its maturity or the insured event occurs. This cash value is the savings component of most permanent life insurance policies, particularly whole life insurance policies. Also known as "cash value", "surrender value" and "policyholder's equity".
Which of these is the best description of cash surrender value?
the insurance company pays the insured the cash value that has accumulated in the policy.............
Can life insurance policy be reinstated after surrender?
The surrender (voluntary termination) of a life insurance policy involves the payment by the insurer, prior to the death of the insured, of the accumulated cash value of a whole life policy. The cash value is the "savings element" of a whole life policy. Upon surrender, the insurer pays the accumulated cash value less any surrender charges specified in the policy. Reinstatement of the same policy is generally not available after surrender. Instead, the insured must reapply for coverage and meet then-prevailing underwriting standards for his/her current age and health status.
Can a insured surrender a life insurance policy after the policy holder dies?
T sum assured divided by multiply no for ex... 100000 / 30=3333
What is the difference between health insurance policy and Critical illness policy?
A Health Insurance policy is a reimbursement of the medical expenses. Well Critical illness insurance is a benefit policy. Under a benefit policy upon the occurrence of an event, the insurance company pays the policyholder a lump sum amount. Under a Critical Illness policy, if the insured is diagnosed with any critical illness as specified in the policy.
What are the taxes on cash surrender of insurance?
How much is the surrender value compared to the premiums paid in? Generally speaking, there is no tax on the cash surrender value of a life ins. policy. This is because the (guaranteed) cash surrender value (GSV) represents the "legal reserve" required by law. So, for instance, if a person is insured for $100k, and the policy has a GSV of $10k, when the insured person dies (assuming no policy loans, etc.) the death benefit of $ 100k is paid to the named beneficiary: $ 90k of the insurance company's $'s, and $ 10k of the insured's $'s. Had the insured taked a policy loan of $10k, then the death benefit would be only the $ 90k. Hope this helps.
Cash Value of whole life insurance?
Cash value of whole life insurance is referred to as the "Cash Surrender Value". The cash surrender value is money the policyholder is supposed to receive from the insurance company when surrendering the whole life insurance policy with cash value. The cash surrender value amount due is the sum of the cash value stated in the whole life insurance policy minus any surrender charge and any outstanding loans and interest due on the loans.
