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Surrendering Endowment Policies
If you are considering surrendering endowment policies, for what ever
reason, then it would be wise to get quotes for selling the policies as
opposed to surrendering.
What's the difference between surrendering my endowment policies or
selling them ? The potential for more money for the policy!
Given that endowment policies are a long term investment that are
designed to run all the way through to maturity, surrendering endowment
policies is viewed by investment advisors as a last resort, even though
there is a very healthy market for trading endowment policies with
buyers eager to pay more than the surrender value quoted by the issuing
life office.
Is surrendering endowment policies an easy thing to do ? Very easy,
as the issuing life office will simply deal with all the paperwork and
issue a cheque in the course of time. However, selling endowment
policies should be no more complicated than surrendering them, and can
result in a significant increase in the cash you receive.
How is it possible that surrendering my endowment policies back to
the issuing life office nets me less cash, potentially, than selling
them on the endowment market place ? Quite simply the person or
institution that buys the endowment policies is investing in a policy
which already has enjoyed a period of growth, and in the case of with
profits endowment policies, this growth is locked in. It means that the
buyer has only to maintain the premiums (quite a few of which you have
already funded) through the end date, where upon the policy pays out to
the new buyer
Surrendering endowment policies also results in a loss of the life
assurance attached, so alternative life cover should be considered,
especially if there is no other good alternative life cover in the
individuals portfolio.
So if you find yourself saying "I am surrendering my endowment
policies" before committing to it, use the endowment selling facility
provided here to see if a better cash price can be obtained.
This web site is designed purely to provide information, and enable
anyone who wants to sell an endowment policy with the facility to have
their endowment policy valued and the option to sell their endowment
policy to an endowment policy buyer.
Click this link to see what the
Financial Services Authority has to say to the question "what if
I want to trade in my endowment policy"
The Financial Services Authority is the independent regulator set up
by Government to look after the financial services industry and protect
consumers.
Selling endowment
Selling endowment to one of only six endowment policy traders that
are members of the Association of Policy Market Makers, can be
achieved by using the "sell endowment" link at the top of the page, or
by clicking here
The information on this web site is intended as
"information only" and should not be taken as "advice".
If you are unsure about what to do, if anything,
about your endowment policy, you should consider taking advice from an
independent financial adviser who is regulated by the Financial Services
Authority
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