Savings Element
Cash value of life insurance that accumulates according to a table in a policy. It reflects premiums in the early years that exceed the pure cost of protection during that period. If a policy is surrendered, the policyowner receives the cash surrender value and the insurance ends. This is why a cash value policy can be considered a savings or investment vehicle. Cash value is also the part of a life insurance product used as an investment for an individual retirement account (IRA).
Popular Insurance Terms
Type of guaranteed investment contract in which funds for the contract are placed in the insurance company's separate account. ...
Legislation that provided temporary rules for implementing the employee retirement income security act of 1974 (erisa). ...
Effort by an individual to continue to receive disability income benefits by taking a continuing sickness or injury. ...
Stealing small amounts of property. Insurance coverage is available under a number of policies. ...
Return of a percentage of premium paid by a business firm if its loss record is better than the amount loaded into the basic premium. ...
Difference between the yield on earning assets and the cost of interest-bearing liabilities. ...
Latin phrase meaning "without which not," signifying a legal rule in tort and negligence cases. Under this rule, a plaintiff trying to prove that an injury was a direct result of a ...
Requirement that the deductible must be met for each separate illness or accident before benefits are payable under major medical insurance. ...
Conveying of assets from the donor to the beneficiary as a means of minimizing the legal tax obligation of the estate of the donor and avoiding probate. ...
Have a question or comment?
We're here to help.