When shopping for insurance it is important to understand the definitions and terminology associated with the industry. Click Here to learn more.
Convertible Term Insurance
Term insurance which can be exchanged (converted), at the option of the policyowner
and without evidence of insurability, for a whole life insurance policy or universal
life insurance policy.
Face Amount
The amount stated on the face of the policy that will be paid in case of death.
It does not include additional amounts payable under accidental death or other
special provisions, or acquired through the application of policy dividends.
Insurability
Acceptability to the company of an applicant for insurance.
Additional Insured
A person or firm or corporation other than the named insured on a policy or mortgage company named in a mortgagee clause, who is protected against loss by the terms of the policy or mortgage company named in the mortgage clause.
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