Mr Biu has been paying the premium of a straight Life Assurance policy for several years. The surrender value of the policy is the amount that

The surrender value of a life assurance policy is the amount that would be paid to the policyholder, in this case Mr Biu, if he decides to discontinue the policy before the maturity date. It is the cash value that has accumulated in the policy, taking into account the premiums paid by Mr Biu and the interest earned over the years. Essentially, it represents the amount that Mr Biu would receive if he were to surrender the policy to the insurance company. Therefore, - would be paid to Mr Biu if he should discontinue with the policy - is the correct answer.