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	<title>New answer on: What Happens When You Surrender A Life Insurance Policy?</title>

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		<title>By: Jerry Vanderzanden, CLU, ChFC</title>

		<link>https://www.insurancelibrary.com/life-insurance/what-happens-when-you-surrender-a-life-insurance-policy</link>

		<dc:creator>Jerry Vanderzanden, CLU, ChFC</dc:creator>

		<pubDate>Wed, 01 May 2013 16:50:28 +0000</pubDate>

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		<description><![CDATA[When you surrender your life insurance policy, your coverage ends and you stop paying premiums. The insurance company will pay the cash surrender value of the policy which will take a week or two. 

The cash surrender value is less than the total cash value in the early years of a policy due to a surrender charge which is usually a charge that decline to zero over a period of 5-20 years, depending on the policy. Any policy loans outstanding also reduce the cash value. 

If you have any gain in the policy - cash surrender value less premiums - then it will be taxable as income.]]></description>

		

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