A means to take cash out of a universal life insurance or annuity certificate without forfeiting the certificate. The universal life death benefit may be reduced by the amount of the cash withdrawn.
This is also known as a partial surrender. It is money removed from the cash value of the policy that may be subject to pro-rata surrender charges. This money cannot be paid back. A partial withdrawal may at times also reduce the amount of the policy's death benefit.
An amount withdrawn from an annuity contract that may be subject to fees and taxes.