| Beneficiary |
The person or organization you designate to receive the death benefit. |
| Cash value |
With permanent life insurance, part of your monthly premiums go toward insuring your life and part goes toward building money or "cash value". This part of your policy earns tax-deferred interest and can be available for loans or withdrawals. |
| Death benefit |
The payment your beneficiary will receive upon your death. |
| Face amount |
This is the amount of death benefit at the time of issue. The actual amount a beneficiary will receive may be less if you've taken out a loan or made a withdrawal. |
| Grace period |
The period of time you have, following your premium due date, to make a payment and avoid cancellation. |
| In force |
A term used to mean the policy’s coverage is in effect. |
| Insured |
The person whose life is covered by the policy purchased. |
| Owner |
The same as the insured if no other person is named in the application as the owner. The owner controls the policy during the lifetime of the insured. |
| Rider |
Benefits or features added to your policy. They may be optional or available for an additional cost. |