Beneficiary

Definition

• The person or legal entity designated to receive or inherit benefits from a benefactor in a will, trust, insurance policy, etc. The beneficiaries in a will are also known as the "devisees" or the "legatees."

Synonyms
person who gains, donee, receiver, payee, heir, inheritor, benefits

Related Terms and Acronyms

• Contingent Beneficiary — Definition,
  • A beneficiary who only receives his or her benefit when specific conditions have been met.
• Death Benefit (DB) — Acronym, Very Important,
  • A payment or series of payments made to the beneficiaries of a life insurance policy.
  ➥ An amount paid to a beneficiary in a life linsurance policy.
• Estate Planning — Definition,
  • The process of determining how assets will be dispersed after an individual's death, ideally in the most tax-efficient way possible.
• Executor — Definition,
  • The person who manages the estate of a deceased individual.
• Family Income Rider — Definition,
  • A recurring or lump sum life insurance benefit that matches the policyholder's income.
• Group Life Insurance — Definition,
  • Life insurance offered to a large number of people belonging to an organization, usually as part of a benefit package.
• Guarantee Period — Definition,
  • A time period where income payments from an annuity are guaranteed.
• Human Life Approach — Definition,
  • A method of estimating what the probable lifetime financial impact a life insurance policyholder's death would have on his or her beneficiaries.
• Irrevocable Beneficiary — Definition,
  • A life insurance or segregated fund beneficiary whose benefit cannot be revoked or modified in any way without his or her consent.
• Life Insurance — Definition, Very Important,
  • An arrangement where an insurer agrees to pay a benefit to one or more beneficiaries in the event of the policyholder's death.
  ➥ CanEquity offers life insurance.
• Probate — Definition,
  • The process of deciding the validity of a deceased person's will and appointing an executor.
• Revocable Beneficiary — Definition,
  • A beneficiary whose benefit can be modified without his or her consent.
• Trustee — Definition,
  • A person who holds and manages assets for the benefit of beneficiaries.
• Variable Death Benefit — Definition,
  • A life insurance death benefit that differs depending on how well the insurance company's investment portfolio fares.
• Variable Universal Life Insurance (VULI) — Acronym, Important,
  • A form of life insurance with adjustable premiums, flexible investment options, and tax efficiency.