At Summit Life Settlements, we help policyholders like you cash out life insurance policies for maximum value. If you’re asking, “Can I cash out my life insurance policy?”—the answer is yes, under the right conditions. Whether you’re looking to surrender, withdraw, or sell your policy, we guide you through a secure, transparent process designed to give you control over your financial future.

“You’ve paid into your policy for years—why not turn it into the cash you need today?”

What Does It Mean to Cash Out a Life Insurance Policy?

To cash out a life insurance policy means converting its built-up cash value into money you can use now. There are several ways to do this:

  • Withdraw funds directly from your policy’s cash value
  • Take a loan against your policy
  • Surrender the policy entirely for a lump sum
  • Sell your policy through a life settlement for more than the surrender value

We help you explore every option—especially if a life insurance cash out through a settlement makes more financial sense.

Sell Your Life Insurance Policy for Cash: a man and woman holding hands on a beach

Yes, you can cash out life insurance before death, but only if you have a permanent life insurance policy like whole life or universal life. These policies accumulate cash value over time, making them eligible for early access through:

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Withdrawals

Lower Monthly Expenses

Loans

Age and Health Parameters

Surrenders

Age and Health Parameters

Life settlements

If you hold a term policy, you may still qualify—if it’s convertible to permanent coverage.

How to Cash Out a Life Insurance Policy

The process of cashing out depends on your policy type and financial goals. Here’s how we make it simple:

  1. Submit Your Policy Info
     Use our secure form to share basic policy details.
  2. Review Cash Out Options
     We’ll evaluate your eligibility and explain your best routes—withdrawal, surrender, or life settlement.
  3. Compare Offers (If Selling)
     If a life settlement is the best option, we source competitive offers from licensed buyers.
  4. Choose & Get Paid
     Select your offer and receive your cash securely.

“Wondering how long it takes to cash out a life insurance policy? Most transactions are completed in just 6–12 weeks.”

Life Settlement - a man and woman dancing

Why a Life Settlement Might Be the Best Way to Cash Out

sell term life insurance policy

While surrendering your policy gets you cash fast, it often pays much less than a life settlement. Selling your policy to a third-party investor through our network of licensed buyers may yield 4–10 times more than the surrender value.

That’s why many seniors choose Summit Life Settlements to cash out life insurance policies with confidence.

Estimate Your Life Insurance Cash Out Value

Use our free, no-obligation calculator to estimate your policy’s potential value. It’s quick, secure, and designed to give you the insight you need before making a big decision.

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Take the Next Step with Summit Life Settlements

If you’re wondering:

  • Can I cash out my life insurance policy before death?
  • How do I get the most money from my policy?
  • Can you cash out life insurance completely?

You’re not alone—and you’re in the right place.

We provide expert support, competitive offers, and a streamlined process to help you unlock real value from your life insurance.

“Don’t let your policy lapse or go to waste—cash it out and put that value to work.”

Find Out What Your Policy Is Worth

Free Calculator
Life Settlement - a man and woman dancing

Yes, if you have a permanent life insurance policy with accumulated cash value, you can cash it out before death through a withdrawal, loan, or by surrendering the policy.

To cash out life insurance, you can either withdraw from the policy’s cash value, take a loan against it, or surrender the policy completely for its cash surrender value. Selling the policy via a life settlement is another option that may yield more value.

To cash out life insurance means converting the accumulated cash value of your policy into accessible funds—either through withdrawal, loan, or sale of the policy.

A life settlement allows you to sell your policy for more than its surrender value. If you’re no longer in need of coverage, this can be a smart way to cash out life insurance and maximize your return.

Yes. Letting a policy lapse often yields nothing, while cashing out could result in a surrender payout or life settlement, giving you real financial value from the policy.

Typically, term life insurance has no cash value. However, if your term policy is convertible to permanent insurance, you may qualify for a life insurance cash out through a life settlement.

If the amount you receive exceeds what you’ve paid in premiums, the difference may be taxable. It’s best to consult a tax advisor before deciding to cash out your life insurance policy. The IRS publication on life insurance proceeds explains how taxes apply when cashing out policies.

Your options include:

  • Withdrawing funds from the cash value
  • Taking a loan against the policy
  • Surrendering the policy
  • Selling it through a life settlement for potentially higher returns

It usually takes 6 to 12 weeks to complete a life insurance cash out, depending on the method—withdrawal, surrender, or life settlement—and the paperwork required.

Yes, you can request to cash out your life insurance policy anytime, as long as the policy has built-up cash value. However, surrendering early may result in penalties and reduce the amount you receive.