Family Maintenance Policy
What Does Family Maintenance Policy Mean?
A family maintenance policy is insurance that provides income for a beneficiary for a specified period after the death of the insured. Upon the end of that period, the insurer gives the beneficiary an amount equivalent to the policy's face value.
Insuranceopedia Explains Family Maintenance Policy
A family maintenance policy is a financial package that combines whole life and level term policies.
The name of this insurance refers to the fact that it is intended for the family breadwinner, with the spouse or dependents often designated as beneficiaries. This is often bought as a precaution to the loss of income after the death of the breadwinner.