don t overestimate your cash surrender value which is not reflective of the amount of coverage you have taken out for the death benefit a cash value is tied to the policy as a benefit to help offset the rise in premiums as you grow older and offers policyholders access to money they can borrow 
cash surrender value for universal and variable lifeuniversal life insurance universal variable life and variable life insurance policies typically include a surrender period if you cancel during this period you may owe a surrender charge of up to 35 of your cash value balance 2 the insurer will deduct this charge from your cash value balance and pay you the remainder for your surrender value there is no surrender charge when the surrender period ends usually after 10 to 15 years 1