Can A Whole Life Insurance Policy Be Cashed In? 
Yes you may `` cash in '' or surrender a whole life policy provided there is enough cash value to do so . However , there are some things to consider . Are you certain you do not need the life insurance any more or can at least qualify for another type of life insurance plan ? When you `` cash out '' a whole life plan you are responsible for the taxes on this money over and above the premiums paid into the plan . You should discuss your options with your agent or broker prior to calling the carrier.There are better ways to receive some of your funds tax free . 