Work out paid up value instantly with clear inputs, formula shown and shareable results.
Making a policy paid-up stops future premiums and reduces the sum assured in proportion to the premiums already paid against those originally payable. The reduced cover and any accrued bonuses remain in force to maturity, which is usually better than surrendering.
Paid-up sum assured
Paid-up value = Original sum assured x Premiums paid / Total premiums payable
Indicative calculation. Paid-up formulas, bonus treatment and minimum-premium conditions vary by product and regulator. Not insurance advice.
Usually not after it is made paid-up. Bonuses already accrued are retained and paid at maturity or on death.
Paid-up preserves some cover at no further cost, so it is generally preferable unless you need the cash immediately.