Which statement about surrender value under traditional participating life insurance products is TRUE?

The statement that the amount of surrender value varies with the age of the assured is accurate. In traditional participating life insurance products, as the insured ages, the policy accumulates cash value over time. This accumulation is influenced by several factors, including how long the policy has been held, the premiums paid, and the performance of the insurer's participating account.

The surrender value represents the amount the policyholder would receive if they choose to terminate the policy before its maturity or before death. As the insured ages, the cash value typically increases due to the accumulation of dividends and interest on the cash value, which can be more pronounced in participating policies that share in the insurer's profits. Thus, the surrender value is not a static figure but rather fluctuates over time and is influenced by various elements, including the age of the policyholder.

Understanding this aspect is crucial for policyholders considering their options and the potential financial outcomes of their participation in such life insurance products.