My husband and I bought Variable Universal Life Insurance through a major insurance company 9 years ago. The actual insurance value on each of us (separate) is $200,000 each. We pay each $100 per month toward the insurance plus the variable part. Each account is worth about $11,000 after the surrender charges (which are down to less than $200 each). Is it worth it to cash these out now and invest this money on our own? We don't need the money right away, and would just put it in a CD until we decide temporarily. Is it difficult to cash these in? (meaning do they make it hard on purpose?) Would the only penalty be the cash surrender charge, and forfeiting the insurance? What is the procedure? This is a major national company, but we now live in a different state. We are planning on buying a $500,000 term policy for me, and $1,000,000 policy for him for half of what we pay now. We have 4 children under age 7.
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