Question

match the following terms with their correct definitions.
a. the payment of the entire policy in one payment unless the insured or beneficiary changes it to smaller payments.
b. a person whom the proceeds of a life insurance policy are given too.
c. when a sickness or injury keeps you from working full - time.
d. a term loosely applied to cash value life insurance that is intended to last a whole life.
e. when a sickness or injury keeps you from working at all.
f. the periodic payment required to keep a specific insurance policy in force.
g. insurance in which the risk is death of the person insured and when death happens, the insurance company agrees to pay a stated sum to the beneficiary.

1. life insurance
2. premium
3. beneficiary
4. permanent life insurance
5. lump sum
6. partial disability
7. total disability

Explanation:

Each term is matched to its standard insurance definition:

1. Life insurance is defined as coverage that pays a sum upon the insured's death.
2. Premiums are the regular payments to maintain insurance coverage.
3. A beneficiary is the person who receives policy proceeds.
4. Permanent life insurance is cash value coverage for a lifetime.
5. A lump sum is a single full payment of policy benefits.
6. Partial disability means inability to work full-time due to illness/injury.
7. Total disability means inability to work at all due to illness/injury.

Answer:

1. Life Insurance - g. Insurance in which the risk is death of the person insured and when death happens, the insurance company agrees to pay a stated sum to the beneficiary.
2. Premium - f. The periodic payment required to keep a specific insurance policy in force.
3. Beneficiary - b. A person whom the proceeds of a life insurance policy are given too.
4. Permanent Life Insurance - d. A term loosely applied to cash value life insurance that is intended to last a whole life.
5. Lump Sum - a. The payment of the entire policy in one payment unless the insured or beneficiary changes it to smaller payments.
6. Partial Disability - c. When a sickness or injury keeps you from working full-time.
7. Total Disability - e. When a sickness or injury keeps you from working at all.