Life Insurance Contract
Updated: 11 March 2024
What Does Life Insurance Contract Mean?
A life insurance contract is a legally binding agreement in which one party (generally, a life insurance company) agrees to pay a certain sum of money to beneficiaries of the other party (generally, the policyholder) upon that party’s death, or after they reach a specific age.
Insuranceopedia Explains Life Insurance Contract
Typically, in order to agree to a life insurance contract, life insurance companies must have the promise of the policyholder to pay a certain amount of money in the form of premium payments. In most cases, the higher a person wants their life insurance benefit to be, the more they will have to pay in premiums. Life insurance payouts can often be quite substantial.
Related Definitions
Related Terms
Related Articles
Related Reading
What Is Temporary Life Insurance?
Revealing the Most And Least Popular U.S. Insurance Companies
Texas is the state with most people killed by animals in the US
Life Insurance Statistics
How Long Do You Have To Have Life Insurance Before You Die?
Life Insurance Statistics