Life · Chapter 6 · Policy Cost Comparison
Surrender Cost Index
Definition
Average cost per $1,000 for a policy surrendered for its cash value at the end of a period (10–20 yrs). Best for buyers who prioritize cash value growth.
Exam tip
Planning to SURRENDER → surrender cost index. Keeping it for the DEATH BENEFIT → net payment cost index.
Easy to confuse with
These are what this term gets tested against — if you can't tell them apart cold, drill the contrast.
Related terms