Which is correct Time to surrender ULIP policy ?

POSTED BY Rama ON May 11, 2012 2:44 pm COMMENTS (3)

I had ICICI Pru Life stage pension policy, which was taken ,when i was not aware of this blog.

first premium was on 26-MAY-2009, 3 premiums paid already with 30 k per year,presently next premium is due on 26-May-2012..

as there is no insurance part is selected, total amount will be in investment. even though fund performance is medium ,but due to charges,present fund value is around 87k ( total paid is 90k)

if policy is surrender in 3\’rd year it is 92%, and 4\’th, 5\’th, 6\’th like that is 94%,95%,96%..
end of 10 years 100% fund value will come.

please let me know, surrender the policy now make sense, or should pay due premium and
surrender it ..


3 replies on this article “Which is correct Time to surrender ULIP policy ?”

  1. Ramanjaneyulu says:

    Thanks to wealthucreate and ashal for answer
    i would surrender the policy once the due date is reached..


  2. Dear Rama, depending upon the market condition at the time of surrender in next 15 days or so, you may get any where from 75K to 80K. In my opinion, please surrender it & reinvest the amount for long term in Quantum Long Term Eq. Fund in one lump sum. As money is to be invested for next 20-25Y, & it’s merely a switch from a fund (Pension fund) to another fund (QLTEF), I’m asking to lump sum investment.



  3. You should consider lucky that you are not in big loss. If you are not happy, get out at the earliest. Dont wait for 4th Year for the extra 2%. you never know how market would behave.

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