The assignment by a policy owner of all rights and control in the policy to a third party
Accelerated Death Benefit?
A life insurance policy rider that allows for the pre-payment of the death benefit in the event that the insured is suffering from a terminal illness and has a life expectancy of less than 12-24 months. The policy owner may accelerate the entire death benefit or a percentage depending on needs
Accelerated Living Benefit?
a life insurance policy rider that allow for prepayment of the death benefit in the form of a monthly benefit in the event the insured requires skilled nursing care.
Accidental Death and Dismemberment?
A policy or rider that pays a benefit in the event the insured dies or loses limbs or body parts or their use as a result of an accident. The death benefit, known as the PRINCIPAL SUM, is only paid if the death was due to an accident and occurs within a certain time period after the accident. Dismemberment benefits, known as the CAPITAL SUM, are paid based on the limbs or body parts lost.
An injury that was not caused intentionally
The period of time wherein the annuity builds up its value, through premium payments and interest earnings
Activities of Daily Living?
Everyday, routine, physical activities conducted by an individual. These activities are : eating, bathing, dressing, toileting, continence and transfering
Additional Monthly Benefit Rider?
A short-term rider added to a disability income policy to provide additional benefits during the first 6 to 12 months of disability claim. These benefits usually coincide with the waiting periods for Social Security Disability Income and other goverment benefits
An insurance contract characteristic in which the insurer creates the unilateral contract and the insured either accepts it or rejects it
A type of life insurance policy which allows the policy owner to change the death benfit, amoung of premium, period of protection, and lenght of the premium payment period.
Administrative Services Only (ASO) Contract?
An Arrangement with a thrid party provider, typically an insurance company, to administer claims for employers that self-fund benefits. The employer pays the claims, the ASO provider provides services
An insurer licensed and authorized to do business in a state.
The tendency of people who are poor insurance risks to purchase and maintain insurance coverage
Age Discrimination in Employment Act? (ADEA)
A federal law that prohibits discrimination anyone over age 40 in employment hiring and employee benefits. It also prohibits forced retirement at age 65, although there are exceptions to the age 65 rule
An Individual who is implicity or explicity given the authorization to represent or act on behalf of another (the principal)