How to Cancel a North American Life Insurance Policy

Understand the Policy

Before initiating cancellation, review the policy contract to confirm it is a term policy eligible for cancellation and note any surrender charges or penalties. If it is a whole life or universal life policy, a cash surrender value calculation is required.

Gather Your Documents

Collect the policy number, proof of identity (driver's license or passport), and any original policy documents. Having a copy of the policy's terms and conditions helps speed the process.

Contact North American Life

Call the customer service number on the back of your policy card or visit the official website's contact page. Use the live chat or email option if you prefer written confirmation. State your intent to cancel and request the official cancellation form.

Submit the Cancellation Request

Fill out the provided form, sign it, and submit it via fax, email, or postal mail. If surrendering a permanent policy, include a written statement of the desired surrender amount and confirm receipt of the surrender value calculation.

Confirm and Follow Up

Ask for a written confirmation of cancellation and a final statement showing any refunds or remaining balance. Keep copies of all correspondence. If no response within 30 days, follow up with a written request citing the policy number and date of initial submission.

Consider Alternatives

Before cancelling, evaluate options such as policy loan, rider removal, or transferring the policy to another insurer. A financial advisor can help assess whether cancellation is the best choice for your circumstances.

Watch for Fees and Tax Implications

Term policies typically have no surrender charges, but permanent policies may incur a penalty. Surrenders of whole life or universal life can trigger taxable income on the gain portion. Review IRS Publication 550 or consult a tax professional for specifics.