This is the age an insured person has reached on a specific
This is the person who is named by the policyholder to receive
the death benefit of the life insurance policy.
An agreement among part-owners of a business that says that
under conditions stated in the agreement, death or disability,
the person withdrawing themselves from the business or his
or her heirs are legally obligated to sell their part of
the business to the remaining part-owners, and the remaining
part-owners are legally obligated to purchase at a price
agreed on. It can also be a similar agreement between an
owner or part-owner of a business and a key person or employee.
Cash Surrender Value
The amount due an insured who surrenders a cash value life
A person or persons named to receive the policy benefits
if the primary beneficiary has died at the time the insured
The amount stated in a policy that is payable upon the death
of the insured.
This type of insurance provides a death benefit to the beneficiary
which decreases throughout the term of the contract, until
reaching zero at the end of the contract.
Entire Contract Clause
This is a provision in a life insurance contract stating
that the entire agreement between the insurer and the insured
is contained in the contract, including the application
if attached, insuring agreements, exclusions, conditions,
declarations and endorsements.
A period of time normally 10, 20 or 30 days which a policyholder
may examine a new individual policy of life insurance, and
surrender it in exchange for a full refund if not satisfied
for any reason.
The prescribed period in the life insurance contract, normally
30 to 31 days from the due date, during which the insurance
contract is in force and the premium may be paid.
An option in Life Insurance contracts that permits the insured
to buy additional amounts of insurance at predetermined
future time intervals without evidence of insurability
Insurance one purchases to protect their family or business
in the event of their death.
The number of deaths in a group of people normally expressed
as deaths per thousand.
Permanent Life Insurance
A term used for a life insurance policy other than term
and universal, with a cash value also known as whole life.
This is term life Insurance that may be renewed for another
term period without evidence of insurability.
This is a type of Life Insurance that provides protection
only for a specific period of time. Normally sold in 5,10,20,
or 30 year periods. This is the most affordable for a young
person but, can be quite expensive when one wants to renew
at the end of the term.
This is a combination adjustable life insurance, flexible
premium policy. The policy owner can select the amount of
premium he or she wants to pay and the policy benefits are
those which the premium will purchase. On the other hand,
the policy owner may change the amount of insurance and
pay the premium accordingly.
Whole Life Insurance
This type of life insurance can be kept in force for a person's
whole life and pays a benefit upon his or her death, whenever
that might be, Also known as permanent life .Whole life
insurance policies build up non-forfeiture values