Selling endowment policies

In this section you can find out about how to go about selling an endowment policy, why you should sell an endowment and how you could benefit.

Many people just like you consider selling endowment policies for a whole variety of reasons. The most common reasons for selling an endowment policy are:

• To repay a mortgage or refinance
• Fear that your endowment policy will not cover future mortgage repayments
• Moving house
• Divorce
• Wish to raise capital early rather than waiting for maturity
• Substantial debts or possible insolvency
• Redundancy
• Unable to maintain premium payments
• Raising finance for specific items or projects
• Life cover and savings superfluous to present requirements.

Sell your endowment policies with aap

Sell a with-profit or whole of life endowment

When determining whether or not you can sell your endowment, bear in mind that normally you can only sell with-profit and whole of life endowment policies. Other factors that are important when deciding if an endowment is suitable for sale include:

• The life company
• The length of time that a policy has been in force
• The surrender value.

Generally, you can sell a with-profits endowment policy that has been in force for at least seven years, with a surrender value of £1,500 or more. In a circumstance such as this, you could receive more by selling your endowment policy through aap rather than surrendering it back to the life company.

What you will need to sell an endowment policy

In order to sell your endowment policy with aap, you will need to provide the following information, all of which should be provided by the life insurer.

• Name of insurance company/life company
• Type of policy (with-profits/unit-linked)
• Policy number
• Start and maturity dates
• Basic sum assured
• Total bonuses declared
• Date to which bonuses are declared
• Current surrender value
• Gross premium payable and premium frequency (i.e. monthly etc)
• Name and address of life (lives) assured.

Click here to see if you can sell your endowment policy with aap