Accidental Death Insurance
Insurance providing payment if the insureds death results from an accident.
Assignment
The transfer of the ownership rights of a Life Insurance policy from one person to another.
Attained Age
"Your current age. Your attained age is one of the factors life insurance companies use to
determine your premiums. The older you are, the greater chance you will die while you are
covered, therefore your premiums will be higher."
Beneficiary
The person designated to receive the death benefit when the insured dies.
Binder
A temporary insurance policy that expires at the end of a specific time period or when the
permanent policy is written. A binder is given to an applicant for insurance during the time the
complete policy paperwork is being completed.
Cash Benefits
"Money that is paid to the insured upon settlement of a covered claim. Often found with Hospital
Income Programs, ""cash benefits"" are paid directly to the insured rather than the doctor or the
hospital directly."
Cash Value
"The equity amount or ""savings"" accumulation in a whole life policy."
Claim
Notification to an insurance company that payment of an amount is due under the terms of the
policy.
Conditional Receipt
"Given to policy owners when they pay a premium at time of application. Such receipts bind the
insurance company if the risk is approved as applied for, subject to any other conditions stated
on the receipt."
Contestable Clause
"A provision in an insurance policy setting forth the conditions under which or the period of time
during which the insurer may contest or void the policy. After that time has lapsed, normally two
years, the policy cannot be contested. Example: Suicide."
Contingent Beneficiary
Person or persons named to receive proceeds in case the original beneficiary is not alive. Also
referred to as secondary or tertiary beneficiary.
Coverage
"Another word for insurance. Insurance companies use the term coverage to mean either the
dollar amounts of insurance purchased ($200,000 of liability coverage), or the type of loss
covered (coverage for theft)."
Conversion Privilege
"Allows the policy owner, before an original insurance policy expires, to elect to have a new policy
issued that will continue the insurance coverage. Conversion may be effected at attained age
(premiums based on the age attained at time of conversion) or at original age (premiums based
on age at time of original issue)."
Convertible Term
A policy that may be changed to another form by contractual provision and without evidence of
insurability. Most term policies are convertible into permanent insurance.
Cross-Purchase Plan
"An agreement that provides that upon a business owner's death, surviving owners will purchase
the deceased's interest, often with funds from life insurance."
Death Benefit
The amount of money paid to the beneficiary when the insured person dies.
Double Indemnity
Payment of twice the basic benefit in the event of loss resulting from specified causes or under
specified circumstances.
Evidence of Insurability
"Any statement or proof of a person's physical condition, occupation, etc., affecting acceptance
of the applicant for insurance."
Exclusions
Specified hazards listed in a policy for which benefits will not be paid.
Expiry
The termination of a term life insurance policy at the end of its period of coverage.
Face Amount
"The amount of insurance provided by the terms of an insurance contract, usually found on the
first page of the policy. In a life insurance policy, the death benefit."
Final Expenses
"Expenses incurred at the time of a person's death. These include funeral costs, court expenses
associated with probating his or her will, current bills or debt, and taxes. Depending on their
circumstances, the survivors may also want to pay the outstanding balances of mortgage and
loans."
First to Die Insurance
"Insurance policy whose death benefit is paid to the surviving insured upon the death of one of
the insureds. There is no longer a benefit once the benefit is paid, however, the surviving
insured usually has the option of purchasing a policy of the same amount without providing
evidence of insurability."
Fixed Benefit
"A death benefit, the dollar amount of which does not vary."
Grace Period
Period of time after the due date of a premium during which the policy remains in force without
penalty.
Graded Premium Policy
A type of whole life policy designed for people who want more life coverage than they can
currently afford. They pay a lower premium rate that increases gradually over the first three to
five years and then remains constant over the life of the policy.
Guaranteed Term
"A form of renewable term insurance that remains in force as long as the premiums are paid on
time. With guaranteed term insurance, the insurance company cannot terminate the policy
during the term."
Guaranteed Insurability (Guaranteed Issue)
"Arrangement, usually provided by rider, whereby additional insurance may be purchased at
various times without evidence of insurability."
Incontestable Clause
"A clause in a policy providing that a policy has been in effect for a given length of time (two or
three years), the insurer shall not be able to contest the statements contained in the application.
In life policies, if an insured lied as to the condition of his health at the time the policy was taken
out, that lie could not be used to contest payment under the policy if death occurred after the
time limit stated in the incontestable clause."
In Force
Insurance on which the premiums are being paid or have been fully paid.
Insurability
"All conditions pertaining to individuals that affect their health, susceptibility to injury and life
expectancy; an individual's risk profile."
Insurable Interest
Requirement of insurance contracts that loss must be sustained by the applicant upon the death
of another and it must be sufficient to warrant compensation.
Insurance
"A formal social device for reducing risk by transferring the risks of several individual entities to
an insurer. The insurer agrees, for a consideration, to pay for the loss in the amount specified
in the contract."
Insurance Policy
The printed form which serves as the contract between an insurer and an insured.
Insured
"The party who is being insured. In life insurance, it is the person because of his or her death
the insurance company would pay out a death benefit to a designated beneficiary."
Insurer
"Party that provides insurance coverage, typically through a contract of insurance."
Irrevocable Beneficiary
A beneficiary that cannot be changed without that beneficiary's consent.
Increasing Term Insurance
Term life insurance in which the death benefit increases periodically over the policy's term.
Usually purchased as a cost of living rider to a whole life policy.
Lapse
Termination of a policy upon the policy owner's failure to pay the premium within the grace period.
Level Term Insurance
Term coverage on which the face value and premiums remain unchanged from the date the
policy comes into force to the date the policy expires.
Life Expectancy
The average number of years remaining for a person of a given age to live as shown on the
mortality or annuity table used as a reference.
Life Insurance
An agreement that guarantees the payment of a stated amount of monetary benefits upon the
death of the insured.
Limited Pay Policy
A type of whole life insurance designed to let the policyholder pay higher premiums over a
specific period such as 10 or 20 years and then not pay any premiums for the rest of his or her
life.
Medical
A document completed by a physician or another approved examiner and submitted to an insurer
to supply medical evidence of insurability (or lack of insurability) or in relation to a claim.
Medical Expenses
"Reasonable charges for medical, surgical, x-ray, dental, ambulance, hospital, professional
nursing, prosthetic devices, and funeral expenses. (The insurance company defines what is
reasonable.)"
Mortality Charge
The charge for the element of pure insurance protection in a life insurance policy.
Mortality Cost
The first factor considered in life insurance premium rates. Insurers have an idea of probability
that any person will die at any particular age; this is the information shown on a mortality table.
Mortality Rate
"The number of deaths in a group of people, usually expressed as deaths per thousand."
Occupational Hazard
"A condition in an occupation that increases the peril of accident, sickness, or death. It usually
will mean higher premiums."
Original Age
The age you were when you bought the policy.
Other Insured Rider
A term rider covering a family member other than the insured that is attached to the base policy
covering the insured.
Ownership
"All rights, benefits and privileges under life insurance policies are controlled by their owners.
Policy owners may or may not be the insured. Ownership may be assigned or transferred by
written request of current owner."
Para-Med (Paramedical) Examination
The medical examination of an applicant for Life insurance.
Para-Med (Paramedical)
"A physician, nurse, or para-med appointed by the medical director of a life insurance company
to examine applicants."
Permanent Life Insurance
"A term loosely applied to life insurance policy forms other than Group and Term, usually Cash
Value Life Insurance, such as Whole Life Insurance."
Policy
The printed document issued to the policyholder by the company stating the terms of the
insurance contract.
Policy Holder
"The person who owns a life insurance policy. This is usually the insured person, but it may also
be a relative of the insured, a partnership or a corporation."
Preferred Risk
"A risk whose physical condition, occupation, mode of living and other characteristics indicate a
prospect for longevity superior to that of the average longevity of unimpaired lives of the same
age."
Premium
The periodic payment required to keep an insurance policy in force.
Premium Flexibility
The policyholder's right to vary the amount of premium paid each month towards a universal life
policy.
Primary Beneficiary
"In life insurance, the beneficiary designated by the insured as the first to receive policy benefits."
Primary Policy
The insurance policy that pays first when you have a loss that's covered by more than one policy.
Probate Costs
"The legal fees and other costs incurred in the probate process, which is the legal processing of
your will. Assets that you leave to other people through your will cannot be distributed until the
will is probated."
Provisions
"Statements contained in an insurance policy which explain the benefits, conditions and other
features of the insurance contract."
Rated
"Coverage's issued at a higher rate than standard because of some health condition, or
impairment of the insured."
Re-entry Option
"An option in a renewable term life policy under which the policy owner is guaranteed, at the end
of the term, to be able to renew his or her coverage without evidence of insurability, at a premium
rate specified in the policy."
Reinstatement
Putting a lapsed policy back in force by producing satisfactory evidence of insurability and paying
any past-due premiums required.
Renewable Term/ Annual Renewable Term
Term insurance that may be renewed for another term without evidence of insurability. Level
term usually turns into renewable term with increasing premiums after the level premium period.
Replacement
A new policy written to take the place of one currently in force.
Revocable Beneficiary
The beneficiary in a life insurance policy in which the owner reserves the right to revoke or
change the beneficiary. Most policies are written with a revocable beneficiary.
Rider
An attachment to a policy that modifies its conditions by expanding or restricting benefits or
excluding certain conditions from coverage.
Risk
"The chance of injury, damage or loss."
Risk Selection
"The method a home office underwriter uses to choose applicants that the insurance company
will accept. The underwriter must determine whether risks are standard, substandard or
preferred and set the premium rates accordingly."
Secondary Beneficiary
"An alternate beneficiary designated to receive payment, usually in the event the original
beneficiary predeceases the insured."
Single Premium Policy
"A whole life policy for people who want to buy a policy for a one-time lump sum, and then be
covered for the rest of their lives without paying any additional premiums."
Standard Risk
"Person who, according to a company's underwriting standards, is entitled to insurance
protection without extra rating or special restrictions."
Substandard Risk
"Person who is considered an under-average or impaired insurance risk because of physical
condition, family or personal history of disease, occupation, residence in unhealthy climate or
dangerous habits."
Term
"Period for which the policy runs. In life insurance, this is to the end of the term period for term
insurance."
Tertiary Beneficiary
"In life insurance, a beneficiary designated as third in line to receive the proceeds or benefits if
the primary and secondary beneficiaries do not survive the insured."
Third-Party Owner
"A policy owner who is not the prospective insured. The policy owner and the insured may be,
and often are the same person. If for example, you apply for and are issued an insurance policy
on your life, then you are both the policy owner and the insured and may be known as the policy
owner-insured. If, however, your mother applies for and is issued a policy on your life, then she
is the policy owner and you are the insured."
Underwriter
"Company receiving premiums and accepting responsibility for fulfilling the policy contract. Also,
company employee who decides whether the company should assume a particular risk; or the
agent who sells the policy."
Uninsurable Risk
A person who is not acceptable for insurance due to excessive risk.
Universal Life
"An interest-sensitive life insurance policy that builds cash values. The premium payer has
control over how the policy is structured. He has the flexibility to eliminate the premiums
(essentially pay up the policy and pay no more premiums) or have the premiums continue for life.
It is a matter of juggling three variables: the assumed interest rate, the cash value and the
premium payment plan. The policy is interest-sensitive, and if interest rates change from the
assumed interest, it will affect the other two variables. In the past, many Universal Life Policies
were structured assuming a higher interest rate then was actually received, therefore, most of
them have under performed. If you have a Universal Life Policy, you should have it evaluated t
see if it needs to have the premiums adjusted to get it back on track. A fourth variable that has
not been a factor but could be in the future, and the owner should be aware of, is the Mortality
variable. Universal Life policies are usually structured assuming current mortality rates. The
insurance companies reserve the right to change those rates."
Variable Life
Life insurance under which the benefits relate to the value of assets behind the contract at the
time the benefit is paid. The assets fluctuate according to the investment experience of funds
managed by the life insurance company. Premium payments may be fixed as to timing and
amount (scheduled premium variable life) or subject to change by the policy holder (flexible
premium variable life).
Waiver of Premium
"Rider or provision included in most life insurance policies exempting the insured from paying
premiums after he or she has been disabled for a specified period of time, usually six months."
Whole Life Insurance
"Life insurance that is kept in force for a person's whole life as long as the scheduled premiums
are maintained. All Whole Life policies build up cash values. Most Whole Life policies are
guaranteed as long as the scheduled premiums are maintained. The variable in a Whole Life
Policy is the dividend which could vary depending on how well the insurance is doing. If the
company is doing well and the policies are not experiencing a higher mortality than projected,
premiums are paid back to the policy holder in the form of dividends. Policyholders can use the
cash from dividends in many ways. It can be used to purchase more insurance or it can be used
to pay for term insurance."
Insurance providing payment if the insureds death results from an accident.
Assignment
The transfer of the ownership rights of a Life Insurance policy from one person to another.
Attained Age
"Your current age. Your attained age is one of the factors life insurance companies use to
determine your premiums. The older you are, the greater chance you will die while you are
covered, therefore your premiums will be higher."
Beneficiary
The person designated to receive the death benefit when the insured dies.
Binder
A temporary insurance policy that expires at the end of a specific time period or when the
permanent policy is written. A binder is given to an applicant for insurance during the time the
complete policy paperwork is being completed.
Cash Benefits
"Money that is paid to the insured upon settlement of a covered claim. Often found with Hospital
Income Programs, ""cash benefits"" are paid directly to the insured rather than the doctor or the
hospital directly."
Cash Value
"The equity amount or ""savings"" accumulation in a whole life policy."
Claim
Notification to an insurance company that payment of an amount is due under the terms of the
policy.
Conditional Receipt
"Given to policy owners when they pay a premium at time of application. Such receipts bind the
insurance company if the risk is approved as applied for, subject to any other conditions stated
on the receipt."
Contestable Clause
"A provision in an insurance policy setting forth the conditions under which or the period of time
during which the insurer may contest or void the policy. After that time has lapsed, normally two
years, the policy cannot be contested. Example: Suicide."
Contingent Beneficiary
Person or persons named to receive proceeds in case the original beneficiary is not alive. Also
referred to as secondary or tertiary beneficiary.
Coverage
"Another word for insurance. Insurance companies use the term coverage to mean either the
dollar amounts of insurance purchased ($200,000 of liability coverage), or the type of loss
covered (coverage for theft)."
Conversion Privilege
"Allows the policy owner, before an original insurance policy expires, to elect to have a new policy
issued that will continue the insurance coverage. Conversion may be effected at attained age
(premiums based on the age attained at time of conversion) or at original age (premiums based
on age at time of original issue)."
Convertible Term
A policy that may be changed to another form by contractual provision and without evidence of
insurability. Most term policies are convertible into permanent insurance.
Cross-Purchase Plan
"An agreement that provides that upon a business owner's death, surviving owners will purchase
the deceased's interest, often with funds from life insurance."
Death Benefit
The amount of money paid to the beneficiary when the insured person dies.
Double Indemnity
Payment of twice the basic benefit in the event of loss resulting from specified causes or under
specified circumstances.
Evidence of Insurability
"Any statement or proof of a person's physical condition, occupation, etc., affecting acceptance
of the applicant for insurance."
Exclusions
Specified hazards listed in a policy for which benefits will not be paid.
Expiry
The termination of a term life insurance policy at the end of its period of coverage.
Face Amount
"The amount of insurance provided by the terms of an insurance contract, usually found on the
first page of the policy. In a life insurance policy, the death benefit."
Final Expenses
"Expenses incurred at the time of a person's death. These include funeral costs, court expenses
associated with probating his or her will, current bills or debt, and taxes. Depending on their
circumstances, the survivors may also want to pay the outstanding balances of mortgage and
loans."
First to Die Insurance
"Insurance policy whose death benefit is paid to the surviving insured upon the death of one of
the insureds. There is no longer a benefit once the benefit is paid, however, the surviving
insured usually has the option of purchasing a policy of the same amount without providing
evidence of insurability."
Fixed Benefit
"A death benefit, the dollar amount of which does not vary."
Grace Period
Period of time after the due date of a premium during which the policy remains in force without
penalty.
Graded Premium Policy
A type of whole life policy designed for people who want more life coverage than they can
currently afford. They pay a lower premium rate that increases gradually over the first three to
five years and then remains constant over the life of the policy.
Guaranteed Term
"A form of renewable term insurance that remains in force as long as the premiums are paid on
time. With guaranteed term insurance, the insurance company cannot terminate the policy
during the term."
Guaranteed Insurability (Guaranteed Issue)
"Arrangement, usually provided by rider, whereby additional insurance may be purchased at
various times without evidence of insurability."
Incontestable Clause
"A clause in a policy providing that a policy has been in effect for a given length of time (two or
three years), the insurer shall not be able to contest the statements contained in the application.
In life policies, if an insured lied as to the condition of his health at the time the policy was taken
out, that lie could not be used to contest payment under the policy if death occurred after the
time limit stated in the incontestable clause."
In Force
Insurance on which the premiums are being paid or have been fully paid.
Insurability
"All conditions pertaining to individuals that affect their health, susceptibility to injury and life
expectancy; an individual's risk profile."
Insurable Interest
Requirement of insurance contracts that loss must be sustained by the applicant upon the death
of another and it must be sufficient to warrant compensation.
Insurance
"A formal social device for reducing risk by transferring the risks of several individual entities to
an insurer. The insurer agrees, for a consideration, to pay for the loss in the amount specified
in the contract."
Insurance Policy
The printed form which serves as the contract between an insurer and an insured.
Insured
"The party who is being insured. In life insurance, it is the person because of his or her death
the insurance company would pay out a death benefit to a designated beneficiary."
Insurer
"Party that provides insurance coverage, typically through a contract of insurance."
Irrevocable Beneficiary
A beneficiary that cannot be changed without that beneficiary's consent.
Increasing Term Insurance
Term life insurance in which the death benefit increases periodically over the policy's term.
Usually purchased as a cost of living rider to a whole life policy.
Lapse
Termination of a policy upon the policy owner's failure to pay the premium within the grace period.
Level Term Insurance
Term coverage on which the face value and premiums remain unchanged from the date the
policy comes into force to the date the policy expires.
Life Expectancy
The average number of years remaining for a person of a given age to live as shown on the
mortality or annuity table used as a reference.
Life Insurance
An agreement that guarantees the payment of a stated amount of monetary benefits upon the
death of the insured.
Limited Pay Policy
A type of whole life insurance designed to let the policyholder pay higher premiums over a
specific period such as 10 or 20 years and then not pay any premiums for the rest of his or her
life.
Medical
A document completed by a physician or another approved examiner and submitted to an insurer
to supply medical evidence of insurability (or lack of insurability) or in relation to a claim.
Medical Expenses
"Reasonable charges for medical, surgical, x-ray, dental, ambulance, hospital, professional
nursing, prosthetic devices, and funeral expenses. (The insurance company defines what is
reasonable.)"
Mortality Charge
The charge for the element of pure insurance protection in a life insurance policy.
Mortality Cost
The first factor considered in life insurance premium rates. Insurers have an idea of probability
that any person will die at any particular age; this is the information shown on a mortality table.
Mortality Rate
"The number of deaths in a group of people, usually expressed as deaths per thousand."
Occupational Hazard
"A condition in an occupation that increases the peril of accident, sickness, or death. It usually
will mean higher premiums."
Original Age
The age you were when you bought the policy.
Other Insured Rider
A term rider covering a family member other than the insured that is attached to the base policy
covering the insured.
Ownership
"All rights, benefits and privileges under life insurance policies are controlled by their owners.
Policy owners may or may not be the insured. Ownership may be assigned or transferred by
written request of current owner."
Para-Med (Paramedical) Examination
The medical examination of an applicant for Life insurance.
Para-Med (Paramedical)
"A physician, nurse, or para-med appointed by the medical director of a life insurance company
to examine applicants."
Permanent Life Insurance
"A term loosely applied to life insurance policy forms other than Group and Term, usually Cash
Value Life Insurance, such as Whole Life Insurance."
Policy
The printed document issued to the policyholder by the company stating the terms of the
insurance contract.
Policy Holder
"The person who owns a life insurance policy. This is usually the insured person, but it may also
be a relative of the insured, a partnership or a corporation."
Preferred Risk
"A risk whose physical condition, occupation, mode of living and other characteristics indicate a
prospect for longevity superior to that of the average longevity of unimpaired lives of the same
age."
Premium
The periodic payment required to keep an insurance policy in force.
Premium Flexibility
The policyholder's right to vary the amount of premium paid each month towards a universal life
policy.
Primary Beneficiary
"In life insurance, the beneficiary designated by the insured as the first to receive policy benefits."
Primary Policy
The insurance policy that pays first when you have a loss that's covered by more than one policy.
Probate Costs
"The legal fees and other costs incurred in the probate process, which is the legal processing of
your will. Assets that you leave to other people through your will cannot be distributed until the
will is probated."
Provisions
"Statements contained in an insurance policy which explain the benefits, conditions and other
features of the insurance contract."
Rated
"Coverage's issued at a higher rate than standard because of some health condition, or
impairment of the insured."
Re-entry Option
"An option in a renewable term life policy under which the policy owner is guaranteed, at the end
of the term, to be able to renew his or her coverage without evidence of insurability, at a premium
rate specified in the policy."
Reinstatement
Putting a lapsed policy back in force by producing satisfactory evidence of insurability and paying
any past-due premiums required.
Renewable Term/ Annual Renewable Term
Term insurance that may be renewed for another term without evidence of insurability. Level
term usually turns into renewable term with increasing premiums after the level premium period.
Replacement
A new policy written to take the place of one currently in force.
Revocable Beneficiary
The beneficiary in a life insurance policy in which the owner reserves the right to revoke or
change the beneficiary. Most policies are written with a revocable beneficiary.
Rider
An attachment to a policy that modifies its conditions by expanding or restricting benefits or
excluding certain conditions from coverage.
Risk
"The chance of injury, damage or loss."
Risk Selection
"The method a home office underwriter uses to choose applicants that the insurance company
will accept. The underwriter must determine whether risks are standard, substandard or
preferred and set the premium rates accordingly."
Secondary Beneficiary
"An alternate beneficiary designated to receive payment, usually in the event the original
beneficiary predeceases the insured."
Single Premium Policy
"A whole life policy for people who want to buy a policy for a one-time lump sum, and then be
covered for the rest of their lives without paying any additional premiums."
Standard Risk
"Person who, according to a company's underwriting standards, is entitled to insurance
protection without extra rating or special restrictions."
Substandard Risk
"Person who is considered an under-average or impaired insurance risk because of physical
condition, family or personal history of disease, occupation, residence in unhealthy climate or
dangerous habits."
Term
"Period for which the policy runs. In life insurance, this is to the end of the term period for term
insurance."
Tertiary Beneficiary
"In life insurance, a beneficiary designated as third in line to receive the proceeds or benefits if
the primary and secondary beneficiaries do not survive the insured."
Third-Party Owner
"A policy owner who is not the prospective insured. The policy owner and the insured may be,
and often are the same person. If for example, you apply for and are issued an insurance policy
on your life, then you are both the policy owner and the insured and may be known as the policy
owner-insured. If, however, your mother applies for and is issued a policy on your life, then she
is the policy owner and you are the insured."
Underwriter
"Company receiving premiums and accepting responsibility for fulfilling the policy contract. Also,
company employee who decides whether the company should assume a particular risk; or the
agent who sells the policy."
Uninsurable Risk
A person who is not acceptable for insurance due to excessive risk.
Universal Life
"An interest-sensitive life insurance policy that builds cash values. The premium payer has
control over how the policy is structured. He has the flexibility to eliminate the premiums
(essentially pay up the policy and pay no more premiums) or have the premiums continue for life.
It is a matter of juggling three variables: the assumed interest rate, the cash value and the
premium payment plan. The policy is interest-sensitive, and if interest rates change from the
assumed interest, it will affect the other two variables. In the past, many Universal Life Policies
were structured assuming a higher interest rate then was actually received, therefore, most of
them have under performed. If you have a Universal Life Policy, you should have it evaluated t
see if it needs to have the premiums adjusted to get it back on track. A fourth variable that has
not been a factor but could be in the future, and the owner should be aware of, is the Mortality
variable. Universal Life policies are usually structured assuming current mortality rates. The
insurance companies reserve the right to change those rates."
Variable Life
Life insurance under which the benefits relate to the value of assets behind the contract at the
time the benefit is paid. The assets fluctuate according to the investment experience of funds
managed by the life insurance company. Premium payments may be fixed as to timing and
amount (scheduled premium variable life) or subject to change by the policy holder (flexible
premium variable life).
Waiver of Premium
"Rider or provision included in most life insurance policies exempting the insured from paying
premiums after he or she has been disabled for a specified period of time, usually six months."
Whole Life Insurance
"Life insurance that is kept in force for a person's whole life as long as the scheduled premiums
are maintained. All Whole Life policies build up cash values. Most Whole Life policies are
guaranteed as long as the scheduled premiums are maintained. The variable in a Whole Life
Policy is the dividend which could vary depending on how well the insurance is doing. If the
company is doing well and the policies are not experiencing a higher mortality than projected,
premiums are paid back to the policy holder in the form of dividends. Policyholders can use the
cash from dividends in many ways. It can be used to purchase more insurance or it can be used
to pay for term insurance."
Our glossary is a continued effort. If you are looking for a definition and do not find it
here, please email us and will email you the definition and post it on our site. Thank
you for your help!
here, please email us and will email you the definition and post it on our site. Thank
you for your help!
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762 Lemay Ferry
St. Louis, Missouri 63125
314-638-5020 Office
314-638-7731 Fax
info@parkerinsurancegroup.com
St. Louis, Missouri 63125
314-638-5020 Office
314-638-7731 Fax
info@parkerinsurancegroup.com
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| Large enough to serve you, Small enough to care! |
With offices in St
Louis, Florissant, St.
Charles, Fenton and
Leslie, Parker
Insurance Group is
proud to serve the
entire states of
Missouri and Illinois.
Louis, Florissant, St.
Charles, Fenton and
Leslie, Parker
Insurance Group is
proud to serve the
entire states of
Missouri and Illinois.