The amount that a policyholder receives when they cash in an insurance policy is called the

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The amount received by a policyholder when they surrender their insurance policy is called the surrender value. This value represents the amount of money that has accumulated in the policy, minus any surrender fees or penalties. The cash value is the amount of money that has accumulated in the policy over time, while the face value is the amount of money that the policy will pay out upon the death of the policyholder. The policy value and fair market value are not commonly used terms in relation to insurance policies.

The Amount That a Policyholder Receives When They Cash in an Insurance