A form of Life Insurance under which members of a group are provided one of several plans of Permanent Life Insurance on a group basis, instead of the more usual plan of Term Life Insurance.

Payment of the proceeds of a Life Insurance policy, or its cash value in installments rather than in a lump sum. The term refers to any one of the options in a Life Insurance policy that has this result.

A plan for covering groups of persons with individual policies having uniform provisions, although they may differ in benefits. Individual contracts are issued to each person, with individual underwriting. It is usually applied to groups too small to qualify for true group coverage, and the solicitation of cases usually takes place among an employer’s work force with his consent. In Life Insurance, it is sometimes called Wholesale Insurance. Contrast with True Group Insurance.

An option in Life and Health Insurance contracts that permits the insured to buy additional prescribed amounts of insurance at prescribed future time intervals without evidence of insurability.

A period of time (usually 10, 20 or 30 days) during which a policyholder may examine a newly issued individual policy of life or health insurance, and surrender it in exchange for a full refund of premium if not satisfied for any reason.

A contract that the insured has the right to continue in force by the timely payment of premiums, for a substantial period of time as set forth in the contract. During that period of time, the insurer has no right to make any change in any provision of the contract other than a change in the premium rate for all insureds in the same class. Contrast with Non-cancellable, from which Guaranteed Renewable should be distinguished.

Insurance coverage on the head of a family which is extended to his or her dependents, including only the lawful spouse and unmarried children who are not yet employed on a full-time basis. “Children” may be step, foster, and adopted, as well as natural. Certain age restrictions on children usually apply.

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.

Fellow of the Life Management Institute. See Life Office Management Association.

A life insurance benefit which is part of a group life insurance contract, which provides death protection to the eligible dependents of a covered employee.