Should I surrender my insurance policy

[neilclem]

For the last 15 yrs, I have been paying �40 per month for a Norwich Union bonus saver insurance plan, which, when it matures (has been projected) to yeild �21k. Since then, the policy is now worth only �9400 and this year alone, has had hardy any bonuses paid into it. (�7200 paid in so far). Because the bonuses are currently so low, would I be better off surrendering it now, or should I wait out the lifetime of the policy (6yrs left) to see if the bonuses are top loaded. If your advice is to surrender it, would it be worth privately selling or just surrendering with Norwich Union directly. Also, would I incur any tax penalties for profit made on the amount paid in?

[NoGood Boyo]

As ever with personal finance questions, it depends. All your personal circumstances need to be taken into account before anyone can advise you, and I suggest you ask a financial adviser. Meanwhile, on the assumption that it is a life insurance plan, you can get the basic options and rules here: http://www.scottishwidows.co.uk/nfshow.wpl/379

[johnjbloomfi]

The bonuses will undoubtedly be very top loaded to make you stick it out. If it's a with profits fund you'll probably get more for a private sale. Another option is always to stop paying in and leave the policy to grow. Sometimes you could laso have the life cover minimised so that more of your money goes to the investment. But the best advice is speak to a Independent Financial Adviser who can check the specifics and ask you the necescary questions- don't take adviuce of norwich union on this