A monthly premium policy of Ordinary Life Insurance, not Industrial, with the premiums collected according to the debit system.

An individual appointed by a Life or Health insurer to administer its business in a given territory. He is responsible for building his own agency and service force, and is compensated on a commission basis, although he possibly has some additional expense allowances.

A method of determining Life Insurance needs by considering a person’s income, expenses, remaining years of earning capacity, and depreciation in the value of the dollar over time.

A prescribed period, usually 30 to 31 days from the premium due date, during which an insurance contract is in force and the premium may be paid.

An annuity that commences payment to the annuitant at the end of the first prescribed payment period. If an insured buys an immediate annuity with monthly payments, he will start receiving benefits at the end of the first month after the purchase.

A contract that provides insurance within a single policy for a father, mother, and born and unborn children. The father’s coverage is typically Whole Life Insurance, with the mother and children insured for smaller amounts of Term Insurance.

A provision in Life Insurance contracts for death benefits that, in the early years of the contract, are less than the face amount of the policy, but that increase with the passage of time. Most commonly found in juvenile policies issued at or near age zero.

A term used in pension or retirement plans. With immediate vesting an employee’s right to benefits begin as soon as he enters the plan. See also Vesting.

See Life Office Management Association.

A modified Life Insurance policy for which the initial premium is low, and then increases in steps over a period of time (usually five years), after which it becomes a level premium.