- Policyholder
- The person or company that concludes the contract and pays the premiums.
- Insured person
- The person whose life and health are insured.
- Beneficiary
- The person who receives the payout when an insured event occurs — usually family members.
- Sum insured
- The limit up to which the insurer pays compensation.
- Premium
- The payment for insurance — as a lump sum or in instalments.
- Insured event
- An event described in the contract that triggers a payout.
- Guaranteed return
- The return the insurer undertakes to credit to the savings under the contract.
- Surrender value
- The amount you can receive if you terminate a savings contract early.
- Underwriting
- The insurer’s risk assessment: age, health, occupation, hobbies.
- Annuity
- Regular payments made by the insurer for a set period or for life.
Life insurance glossary: key terms
Still have questions? A Dynasty consultant will explain the terms and select a life insurance programme.
Read also
Insurance terms: deductible, insurance reserve, rate and other concepts
The glossary continues: fourteen more terms you will find in life insurance contracts — in plain words.