Life Insurance

A B C D E F I K L M N P R S T U V W
A

Accident

An event or series of events, which are unforeseen, involuntary, external and visible in nature and which causes bodily injury.

Accidental Death Benefit Rider

An optional addition to your life insurance policy that pays a benefit to the beneficiary of a life insurance policy in addition to the death benefit should death be due to an accident.

Additional benefit

The benefit which becomes applicable on the Death or Total and Permanent Disability of the life assured as specified in the plan

Age

Age as on his/her last birthday.

Agent

An insurance company representative licensed by the state who solicits, negotiates or effects contracts of insurance, and provides service to the policyholder for the insurer.

Age Limits

Stipulated minimum and maximum ages below and above which the company will not accept applications or may not renew policies.

Annuity Plans

These plans provide for a "pension" (or a mix of a lump sum amount and a pension) to be paid to the policy holder or his spouse. In the event of death of both of them during the policy period, a lump sum amount is provided for the next of kin.

Application Form

Supplied by the insurance company, usually filled in by the agent and medical examiner (if applicable) on the basis of information received from the applicant. It is signed by the applicant and is part of the insurance policy if it is issued.

Appointee

The person who receives the proceeds or the benefits under the plan when the nominee is less than 18 years of age.

Appreciate

To grow in value.

Asset

Everything owned or due to a person.

Asset allocation

How your investments are spread across various asset classes.