Should my father surrender the 2 policies he has bought at this point of time ?

POSTED BY Amol G ON May 10, 2014 2:38 pm COMMENTS (3)


My father in law has bought 2 policies from Max life insurance. One is endowment policy and other is Shiksha plus ULIP policy. He had paid premium for 2 years for one policy and 3 years for other policy  for total amount of Rs. 84000 for both and now the premium is not paid for almost 3 years because lack of funds.

Actually his financial condition is not good now so we don’t know if he is able to pay remaining preminum. We want to know if we continue paying premium for these policies or shall we surrender it. But we will incur total Rs. 50000 loss if we surrender.

Also, his age is 55 now and he doesn’t have any term insurance. My question is, is it good to go for term insurance or continue paying premium for above policies.

Please help as we are unable to decide what is the best option.

Thanks in advance.


3 replies on this article “Should my father surrender the 2 policies he has bought at this point of time ?”

  1. ashalanshu says:

    Dear Amol, than surrender the policies and invest the surrender amount if any in pure investment instruments. Please do not purchase any term cover for him as all the financial liabilities are over.



  2. Amol G says:

    Dear Ashal,

    No. He doesn’t have any open financial liabilities.


  3. ashalanshu says:

    Dear Amol, are his financial liabilities still open?



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