Living Benefits
Definition
- A provision available in some life insurance policies where the insured can receive some or all of their benefits before they die. Also known as "accelerated death benefits", living benefits can be paid out, in some cases, to policyholders who have been diagnosed with a terminal or catastrophic illness, or with an illness that requires long term care.
Synonyms
advance death benefit, early death benefit, accelerated death benefits
Related Terms and Acronyms
- Accelerated Benefit Option — Definition,
- An option that allows the insured to receive insurance benefits before they would ordinarily be available.
- Benefit Period — Definition,
- The total period of time where an insurer is contractually obligated to pay benefits.
- Burial Insurance — Definition,
- Insurance that provides coverage for funeral expenses.
- 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. - Disease Management (DM) — Acronym, Important,
- The process of discussing and agreeing to treatments and care plans for individuals with long-term health care needs.
➥ Heath care decisions made to manage a disease. - Dread Disease Rider — Definition,
- Insurance that provides a benefit if the policyholder is diagnosed with an illness that is deemed serious or terminal.
- Home Care — Definition,
- Medical and/or non-medical care provided directly in a person's home.
- 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. - Policy Loan — Definition,
- A loan where a life insurance policyholder's death benefit is used as collateral.
- Surrender Charge — Definition,
- A charge levied when a life insurance policyholder cancels his or her policy.
- Surrender Rights — Definition,
- The contractual right for a life insurance or annuity policyholder to cancel his or her policy.
- Viatical Settlement — Definition,
- A contract where an individual agrees to sell his or her life insurance policy to a third party before their death.
