Accelerated Death Benefits
Under certain qualifying circumstances, the owner of a life insurance policy may receive all or a portion of the death benefit while living. Qualifying circumstances may include the owner of the policy requiring the services of a convalescent care facility or becoming terminally ill.
minimize answer
An acceptance or rejection of an application for insurance based on answers to the questions on an application without additional medical records or tests required to determine an applicant's eligibility.
minimize answer
A policy provision which doubles or triples the death benefit in the case of death by accidental means, not from illness or natural causes.
minimize answer
A person who uses mathematics, statistics and other data to determine insurance and annuity calculations, such as life expectancy, premiums, benefits, rates, etc.
minimize answer
Licensed person authorized to sell insurance on behalf of an insurance company.
minimize answer
The annual recurrence of an insurance policy's effective date.
minimize answer
The person whose lifetime is used as the measuring period to determine how long benefits are payable under a life annuity.
minimize answer
An annuity is a long term financial contract sold by an insurance company which promises to provide a specified series of payments to an individual for a fixed period, often for the lifetime of the recipient, in return for a stipulated lump sum premium or a series of premiums. An annuity is tax-deferred and can be used for accumulating money for retirement or other long term future needs.
minimize answer
Payments received by an annuitant. Depending on the contract, payments can be in a lump sum, systematic payments over a specified time or guaranteed income spread over the lifetime of the annuitant.
minimize answer
Any item of economic value owned by an individual which can be converted into cash.
minimize answer
The process of dividing funds among several classes of investments to coincide with the investor's goals, investment period and tolerance for risk.
minimize answer
The person named in an insurance policy as the recipient of the funds in the event of the insureds death.
minimize answer
The person or persons designated to receive the benefits of a life insurance policy or annuity if the Primary Beneficiary(ies) and Contingent Beneficiary(ies) should die before the insured or annuitant.
minimize answer
The person or persons designated to receive the benefits of a life insurance policy or annuity if the Primary Beneficiary(ies) should die before the insured or annuitant.
minimize answer
A pre-determined amount of money paid when an insurance claim is approved.
minimize answer
A pre-determined amount of time in which benefits are paid to an insured or beneficiaries.
minimize answer
A person or organization who (usually for a commission) negotiates or intermediates agreements between two or more parties.
minimize answer
The value a policyholder receives upon early termination of a life insurance contract for any reason other than death of the insured usually equal to the cash value less any policy debt or surrender charge imposed by the insurance company.
minimize answer
The amount of money accruing within the policy, either pre-determined and fixed when the policy is issued, or based on interest rates the company credits.
minimize answer
The demand by an individual to recover losses covered under an insurance policy.
minimize answer
A term used by health insurance companies to refer to the amount that an insured person is required to pay for a medical claim, apart from co-payments and deductibles.
minimize answer
The fee earned by a broker or agent for their services negotiating the buying or selling of financial products, investments, real estate, etc.
minimize answer
In the event of a qualifying, medically necessary confinement of the policy owner to a hospital, convalescent care facility or other qualifying facility for a specified period of time, the surrender charges and/or other charges will be waived on any withdrawals while confined.
minimize answer
The period of time during which the owner of a term life insurance policy may convert it to a permanent form of life insurance without evidence of insurability.
minimize answer
The effective date of an insurance policy or effective contract date for annuities.
minimize answer
Also referred to as a co-pay, a co-payment is a specific charge for a medical service or supply that your health insurance plan may require that you pay. For example, a plan may require a $20 out-of-pocket co-pay for a prescription drug and the insurance company will pay the balance of the cost for the drug.
minimize answer
The sum of money paid to a named beneficiary in the event of the death of the covered person.
minimize answer
A request for payment due to death of the insured or annuitant according to the terms of a life insurance policy or annuity contract.
minimize answer
A predetermined dollar amount which an individual covered under an insurance policy must payin a certain period of time (usually one year) before any payment of benefits will be made by the insurance company.
minimize answer
A financial product that allows the accumulation of money on a tax-deferred basis.
minimize answer
A child, spouse, parent or other individual to whom one provides more than half of his or her financial support.
minimize answer
In the event the owner of a life insurance policy or annuity contract becomes physically disabled prior to age 65 or is diagnosed with a disabling terminal illness after the issue date of the policy, surrender charges and/or other charges will be waived on any withdrawals made during such disability.
minimize answer
A refund paid to the owner of an insurance contract consisting of a portion of the premium not needed by the company to pay claims or to meet expenses on a participating policy.
minimize answer
The designated period of time between acceptance of a claim and the commencement of benefits.
minimize answer
The collective assets owned by an individual at the time of death, minus outstanding liabilities.
minimize answer
Information given to an insurance company pertaining to health and lifestyle, results of medical examinations, medical records or other documentation that allow the insurance company to evaluate whether an individual is an insurable risk.
minimize answer
In some states, an Excess Interest Deduction will apply when an annuity contract is surrendered either partially or fully. The amount of the EID is the amount of any interest paid in excess of the guaranteed interest credited during the prior 12 months on the amount surrendered.
minimize answer
Specific conditions or circumstances which are not covered by the insurance contract.
minimize answer
An individual or institution responsible for settling the estate of a deceased person, including gathering assets, paying taxes and distributing the assets in accordance with the will.
minimize answer
A specified dollar amount of coverage stated in a life insurance policy.
minimize answer
Financial liabilities occurring at the death of an individual that must be paid.
minimize answer
An annuity contract that guarantees the principal when left in the contract and pays a minimum guaranteed return equal to a specified fixed rate.
minimize answer
A fixed amount of money paid to maintain insurance coverage.
minimize answer
A rider providing the insured with the right to purchase additional insurance on specified dates occurring after issue of the original policy without additional evidence of insurability.
minimize answer
Insurance terminology meaning that a person is not required to provide evidence of insurability in order to obtain coverage.
minimize answer
An insurance policy provision that guarantees the owner the right to renew the policy for the period stated in the policy, as long as premiums are paid in a timely manner.
minimize answer
A printed proposal of a life insurance policys future payments, cash value and death benefits based on a certain return.
minimize answer
A health insurance policy that reimburses the insured for the benefit applied for regardless of the amount of actual expense incurred.
minimize answer
A statistical measurement of a particular group of stocks or bond funds.
minimize answer
A tax-deferred savings vehicle. Contributions may be invested in stocks, bonds, money market funds, annuities, etc.
minimize answer
The initial enrollment period for Medicare begins three months before an eligible persons 65th birthday and ends three months after that birthday.
minimize answer
An individual who is able to obtain insurance under the insurance company's underwriting criteria, usually based upon the individual's age, health, occupation and lifestyle.
minimize answer
Expenses that should be considered in your monthly insurance expense total would be life insurance payments, disability insurance payments, and other miscellaneous insurance expenses.
minimize answer
The age of the insured on the date an insurance policy becomes effective.
minimize answer
A single insurance policy that covers two lives, providing for payment of the proceeds at either the death of the first insured (First to Die) or the second insured (Survivorship).
minimize answer
A financial obligation, debt or claim against a person or institution.
minimize answer
An insurance sales person, who has obtained licenses from the states in which he or she sells insurance products.
minimize answer
An annuity that pays out income periodically for the life of an individual and ending upon their death.
minimize answer
A statistical measurement of the number of years a person is expected to live.
minimize answer
The ability of an asset to be readily converted into cash without considerable loss of value.
minimize answer
The amount of money that may be borrowed from a life insurance policy.
minimize answer
A policy that pays the insured monthly benefits in the event of a disability as defined by the policy.
minimize answer
The process of developing and implementing a coordinated plan for the achievement of financial objectives, including income tax planning, retirement planning, investment planning, estate planning and risk management.
minimize answer
A variety of techniques used by health care systems to reduce costs and increase the level of care provided.
minimize answer
A market value adjustment is an increase or decrease in the surrender charge of an annuity or life insurance policy depending on the current market interest rates. An MVA will be assessed if part or all of the surrender value is withdrawn before the end of the surrender charge period in the contract.
minimize answer
The date upon which an outstanding debt becomes due for payment or upon which an annuity or life contract becomes payable to the owner.
minimize answer
A social insurance program managed by the United States Government providing health insurance benefits for citizens with low income or resources.
minimize answer
A brief physical examination, usually administered by a qualified medical professional that may be required by an insurance company to confirm height, weight and overall general health of an insurance applicant.
minimize answer
A tax-advantaged savings account available to U.S. citizens that pays for qualified medical expenses.
minimize answer
A social insurance program managed by the United States Government providing health insurance benefits for qualified people age 65 or over and others with certain medical disabilities.
minimize answer
The minimum fixed interest rate an insurance company will pay on the cash value of a whole life or universal life insurance policy or annuity contract.
minimize answer
The total assets minus total liabilities of an individual or company.
minimize answer
Refers to financial vehicles or contracts funded with after-tax dollars.
minimize answer
A whole life insurance policy in which the premiums are paid throughout the life of the insured.
minimize answer
Life insurance with generally level premiums designed to provide lifelong protection while accumulating cash value.
minimize answer
An agreement representing a contract of insurance between the insurer and the insured.
minimize answer
Certain information within an insurance policy that is changeable by the policyholder, including name, address, phone number and beneficiary information.
minimize answer
The date upon which an insurance contract or annuity becomes effective.
minimize answer
Specific information within an insurance policy including policy type, status, policy date, death benefit, current interest rate and beneficiaries.
minimize answer
An identifying number assigned to an insurance contract or annuity.
minimize answer
The individual or entity that owns an insurance policy or annuity, possibly differing from the insured.
minimize answer
A dollar amount representing the cash or surrender value of a policy.
minimize answer
Any personal illness or injury that was known to the applicant and existed prior to the application ofan insurance contract.
minimize answer
The amount paid or to be paid by the owner of an insurance policy or annuity contract to an insurance company for coverage under the contract.
minimize answer
The person or persons with first rights to receive the benefits of a life insurance policy or annuity following the death of the insured/annuitant.
minimize answer
The physician who provides the initial care and diagnosis of a patient or the insured and acts as a conduit for referrals in the medical system.
minimize answer
The original amount invested, apart from any earnings, or the amount borrowed or still owed on a loan, separate from applied interest.
minimize answer
The legal process in which a will is reviewed to determine whether it is valid and authentic.
minimize answer
A financial vehicle is referred to as qualified when it is funded with either pre-tax dollars or tax-deductible contributions.
minimize answer
Additional benefits that can be added to a basic policy usually for an additional cost.
minimize answer
A life insurance policy purchased with one premium payment.
minimize answer
A program administered by the federal government that provides monthly income benefits to qualified individuals, including the elderly and disabled.
minimize answer
A nine-digit identification number assigned to individuals in the United States Social Security system.
minimize answer
Additional death benefit under a life insurance contract to be paid in the event of accidental death of the insureds spouse.
minimize answer
Age of the insureds spouse when the Spouse Rider becomes effective.
minimize answer
A benefit added to a life insurance policy that provides additional protection on the life of the spouse of the insured on the same policy.
minimize answer
A rating agency that evaluates the financial soundness of corporations and businesses, used for investment performance measurement.
minimize answer
The current standing of an insurance policy or annuity contract.
minimize answer
The fee charged by an insurance company against the cash value of a life insurance policy or annuity contract if the owner were to prematurely cancel his or her policy.
minimize answer
The number of years during which the insurance company would charge the owner a fee if the owner chooses to surrender the life insurance policy or annuity contract.
minimize answer
A schedule showing the time and charges the insurance company applies for prematurely terminated insurance and annuity contracts.
minimize answer
Individuals, usually related to the insured, who face emotional and sometimes financial setbacks as a result of the insureds death.
minimize answer
Of or relating to a financial investment that is not taxable until income is withdrawn.
minimize answer
An attachment to a life insurance policy that provides additional coverage for a specific time period.
minimize answer
Life insurance that provides coverage for a specific time period and offers no cash value.
minimize answer
A person or entity that assumes liability by way of insurance.
minimize answer
The process used by insurance companies to determine the amount of insurance issued to an entity and at what cost.
minimize answer
A variety of different information required by insurance underwriters in order to effectively evaluate risk and determine an applicant's insurability.
minimize answer
An individual who is unable to obtain insurance coverage due to the high risk he or she represents to the insurance company.
minimize answer
Life insurance with flexible premium payment options that provides death benefits and the potential to build cash values within the policy on a tax-deferred basis.
minimize answer
Life insurance that accumulates tax-deferred cash value in which the policy value may fluctuate according to the investment option performance chosen by the policy owner.
minimize answer
Life insurance that accumulates tax-deferred cash value and includes variable investment options available to the policy owner and incorporates flexible premium payment options.
minimize answer
Permanent life insurance that accumulates tax-deferred cash value and provides a death benefit to the insured providing that predetermined premiums are paid.
minimize answer
A legally enforceable document declaring a persons wishes as to the distribution of his or her estate after death.
minimize answer
minimize answer