If you only want to save in the short term: exempt contributions
You may not want to give up your life insurance, but just temporarily save on premiums because you currently need the funds for other purposes. There are different options available to you:
Contribution deferral – Many providers allow contributions to be deferred for a set period of time, for example one to two years. You do not have to make any payments during this phase, but after this period, any deferred premiums must be paid in arrears, usually spread over several installments.
Pay contributions using surpluses – If your contract has already run for a certain period of time, you have the option of paying the contributions from the accumulated surpluses for a certain period of time. It is not necessary to pay these contributions later.
Suspension of contributions – The majority of insurance companies allow the contract to be maintained without contributions for one to two years. This is usually only possible from a certain amount in the contract. Please note, however, that administration costs will continue to be incurred during this time and will therefore reduce the value of your assets.
In theory, you could also consider making your life insurance permanently exempt from contributions without ever resuming contributions. However, this is only recommended in exceptional cases. In addition to the ongoing costs, the insurer could also charge a fee, similar to that for termination. In these circumstances, selling your insurance may be a more economically viable option.