Okuzeka
Insurance vocabulary · Life & Health Insurance

Life insurance

Meaning in insurance, with examples

nounCore term

In insurance, life insurance means: Insurance that pays a sum of money to the named beneficiaries when the insured person dies, and in some products also builds up savings.

In Turkish: hayat sigortası

How it is used

One of the two main branches of the industry, next to non-life. People take out life insurance to protect their family or to secure a loan. Banks sell it widely with mortgages and consumer loans.

Example sentences

  1. The bank asked us to take out life insurance before approving the mortgage.

  2. Life insurance premiums are lower if you buy a policy while you are young and healthy.

Common collocations

  • life insurance policy
  • take out life insurance
  • group life insurance
  • life insurance company
  • beneficiaryThe person or organisation named in a policy to receive the money, for example the family member who is paid when the insured person dies.
  • term life insuranceLife insurance that covers a person for a fixed number of years and pays only if the person dies during that period; it has no savings value.
  • whole life insuranceLife insurance that lasts for the person's whole life as long as premiums are paid, and usually builds up a cash value over time.
  • surrender valueThe amount of money a policyholder receives if they cancel a savings-type life policy before it ends.
  • non-life insuranceAll types of insurance other than life insurance, such as motor, property, liability, health and travel insurance.

More terms: Life & Health Insurance

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This page explains English vocabulary for learners. It is not financial advice.