Is Life Insurance Surrender Value Taxable? 
That is an excellent question ! To put it simply , you have already paid taxes on the money that you have paid into the policy . If the surrender value is equal to , or less than that amount , then there are no taxes on it . If there has been interest , or investment income added to the premiums you 've paid in , then that extra amount can be considered as income , and that part taxed . Sometimes it makes more sense to borrow out of the policy , and keep the coverage , and get the cash you need . If you 'd like to discuss that further , please feel free to contact me , okay ? Thanks for asking ! 