Glossary Group: Glossary of Insurance Terms

It grants income replacement benefits to an insured that is disabled to work due to a disease or injury.

Collective or group disability income coverage that stipulates a maximum benefit period higher than a year. The maximum benefit period is usually extended to the insured’s normal retirement age or up to the age of 70.

Collective or group disability income coverage that stipulates a maximum benefit period lower than a year. This coverage usually establishes a maximum benefit term of 13, 26, or 52 weeks.

Clauses that stipulate that a policyholder and insured person may choose between receiving the entirety or part of the policy death benefit before their death, after certain conditions are met.

Collective or group insurance clause that requires that, in order to be eligible for coverage, the employee must be working actively and productively—they cannot be sick or in leave—the day the coverage comes into force.

An additional clause that is added to an ordinary life insurance policy which provides coverage to the spouse and children of the insured.

An individual health insurance policy clause that aims to prevent an insured from obtaining advantages from a disease or injury.

Free examination clause that grants a policyholder a specified period of time—usually ten days—after the policy has been delivered, to examine the policy.

It grants the contract holder the right to withdraw the entirety or part of the accumulated value of the life annuity or annuity during the accumulation period.

Clause in a temporary life insurance policy that grants its holder the right, within specific limits, to renew the insurance coverage at the end of the specified period without need for proof of insurability.