Death benefit

The death benefit is what the contract pays on an admitted death claim. On a term plan it is the sum assured; on other products it may be defined differently, and the policy document governs.

It is paid to the nominee recorded on the policy, which is why keeping that record current matters.

Related terms

• Sum assured The amount the insurer pays on a valid claim. The headline cover figure a policy is described by.
• Nominee The person you name to receive the payout on a death claim.
• Claim A request for the insurer to pay what the policy promises.

Back to the glossary · The four categories · How applying works