Early in the tenure of non-linked policy you don't like? Surrender it
Last Update Date: 06-10-2026
Published by Business Standard
Abhishek Kumar's role: Quoted
Abhishek Kumar pointed out that the regulator had left surrender value rates unchanged, and said policyholders who regret a policy should get past the sunk cost fallacy and surrender it early.
More of Abhishek's views on insurance
The article examines IRDAI's surrender value norms for non-linked life insurance policies from April 2024, after a draft that would have eased exits was not adopted. It sets out insurers' case for high early surrender charges, advisers' counter-arguments, low persistency and mis-selling, and when policyholders should consider exiting.
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Early in the tenure of non-linked policy you don't like? Surrender it