If from any cause it is desired to give up a policy and discontinue paying any more premiums, the offices will pay to the insured what is called the surrender value of the policy, at the same time cancelling it and all its conditions. This surrender value may be roughly calculated at about 40 per cent. of the premiums paid, in a case were bonuses have been added to a policy, and about 33 per cent. of the premiums paid in a case where the bonuses have not been so applied. For example: a person has paid 25 a year in premiums for ten years -- in all 250 -on a policy for 1,000, to which has been added 60 in the shape of bonuses. The surrender value in such a case would be 100. But if the insured had taken his bonuses in cash, or his policy did not carry profits, then the surrender value would be 82 10s. only.

Any insurance office will lend the insured, on the security of the policy, an amount of money not exceeding the surrender value, and the rate of interest is usually moderate.

In this case there would be no necessity to abandon the policy, which would be kept alive and increased by added bonuses as before.