Author Topic: Getting out of a Universal Life Insurance Policy  (Read 928 times)


  • 5 O'Clock Shadow
  • *
  • Posts: 4
Getting out of a Universal Life Insurance Policy
« on: August 09, 2019, 08:11:50 PM »
Completely new to the forum, so please be patient with me, but I would greatly appreciate your advice on this topic

I've always always been thrifty, but I'm starting to really try to grow my husband's and my stash. When my husband and I got married, he told me he received an inheritance from his grandmother but I never paid much attention to it. After starting from the beginning of the MMM blog, I started to get curious about how it was invested. I was shocked to find that it has been losing money steadily since 2012 because it has moved companies 4x since 2012 and is partially invested in a Flexible Premium Adjustable Universal Life Insurance Policy with Indexed Funds that is managed by a FA. I like the FA as a person, but I want to hopefully retire early... but at least retire! We decided we want to manage the money ourselves, but aren't sure how to maximize the money we can get out of the insurance policy?

How can I best get out of this insurance policy and roll it over to Vanguard? The Planned initial premium is ~$24000 with a surrender charge of $16.17 per $1000. I feel like I'm missing a key point because surely the fee would be more than ~$350?

There is also $45000 invested in a TD Ameritrade account, but I can roll that over to an Vanguard IRA without tax penalties correct?

If you need any more information, please ask. I would appreciate any advice you can give us.


Wow, a phone plan for fifteen bucks!