Beneficiary
The person or entity you designate to receive your insurance payout when you die. You can name multiple beneficiaries and specify what percentage each receives. It is important to keep your beneficiary designations up to date, especially after major life events like marriage or divorce.
Real-World Example
Priya named her husband as the primary beneficiary and her sister as the contingent beneficiary on her life insurance policy.
Related Terms
Disclaimer: This glossary entry is for informational purposes only and does not constitute financial or insurance advice. Consult with a licensed insurance professional for personalized guidance. GuardianChoices may earn affiliate commissions from links on this site — see our advertiser disclosure.
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