Insurance Definitions

Age: The insured’s age on his/her last birthday.

Beneficiary: The person we will pay proceeds to at the death of the insured.

Death Benefit: The amount we are obligated to pay under the terms of the policy when the insured dies.

In Force: The insured’s life remains insured under the terms of the policy.

The Insured: The person whose life is insured under the policy.

Lapse: A premium is in default, and the insured’s life is no longer insured.

Policy Date: The effective date of coverage under the policy and the date from which policy anniversaries, policy year, policy months and premium due dates are determined.

Policy Anniversary: The same day and month as the policy date for each succeeding year the policy remains in force.

Policyholder/Policyowner: This is the person who applies for the coverage and is normally but not always the insured. The owner can exercise all rights under the policy during the insured's lifetime. This includes the right to make changes to the policy.

Termination: The insured’s life is no longer insured under any of the terms of the policy.

Written Request: A request in writing signed by the owner.