Endowment Insurance

A form of Life Insurance where the face amount is payable to the insured at the end of the contract period or to a beneficiary if the insured dies before that. An example would be an insured purchasing an endowment payable at age 65; if he reaches that age, the proceeds would be payable to him, but if he dies prior to that age, the proceeds would be payable to the designated beneficiary as a Life Insurance benefit.