How to cash in a life insurance policy?

Maybe you'll get $200. If she has turned ownership of the policy over to you, then you can call the insurance company, and ask them for the cash surrender value. As to whether or not you should keep it, do you WANT life insurance? Do you NEED it? And . . . if you do, do you realize you could get $250,000 of 20 year term coverage for about 25% of what granny is paying?

Don't expect much. These policies are not an investment. If you should cash it in depends on a few things. Does the policy have dividends? Are the dividends enough to pay the premiums for you? Is there any taxable gain on the policy if you cash it in? Can you roll over the money into something else that is NOT a life insurance policy? You need to speak to an insurance agent or the company. Hopefully you don't get an insurance agent that is just looking for another commission.