Paid-up value is the reduced benefit retained by an eligible life insurance policy when further premiums stop after specified conditions have been met. The contract may remain in force with lower death or maturity benefits rather than continuing at its original level. Optional rider benefits may end or change.
For a Nepalese policyholder struggling with payments, a paid-up option may differ materially from policy lapse or surrender. Ask the insurer for the reduced benefit figures and whether future bonus participation continues. Eligibility and calculations depend on the specific insurance policy, not simply on the number of years the customer remembers paying.