Variable Life Insurance

A form whose face value varies depending upon the value of the dollar or securities or other equity products at the time payment is due.

Step-rate Premium

Premium is increased at times specified in the policy, based on a predetermined attained age, or number of policy years in force.

Triple Indemnity

See Multiple Indemnity.

Variable Universal Life

A combination of the features of Variable Life Insurance and Universal Life Insurance under the same contract. Benefits are variable based on the value of equity investments, and premiums and benefits are adjustable at the option of the policyholder.

Straight Life Policy

See Ordinary Life Policy.

Triple Protection

A form of Life Insurance that is usually a combination of Whole Life and twice as much Term Insurance. The Term portion applies until a stated date. Such a policy might be used to provide maximum protection to an individual at an earlier age when the need for insurance is greater but the ability to pay is less.

Vesting

The attainment of a benefit right by a participant, attributable to employer contributions, that is not contingent upon a participant’s continuation in specified employment. See also Contingent Vesting, Deferred Vesting, and Immediate Vesting.

Substandard Risk

See Impaired Risk.

Trust Agreement

A supplemental agreement, attached to and made a part of a Life Insurance policy, setting forth the manner in which the proceeds are to be paid, in lieu of having them paid in a lump sum or under one of the other installment settlement options in the policy itself. (2) An agreement or instrument under which a corpus (fund/property) is given over to the management of the trustee named in a trust instrument for the benefit of the beneficiaries of the trust. (3) A written agreement between two parties – the employer and the trustee- setting forth the provisions of a pension plan.

Waiver of Premium

A provision of a Life Insurance policy which continues the coverage without further premium payments if the insured becomes totally disabled.