Backdating: A procedure used to make the effective date of a policy earlier than the application date. Backdating is commonly used to make the insurance age of the insured at policy issue lower than it actually is in an effort to receive a lower premium. Most policies can be backdated up to six months. Backdating is also commonly referred to as Saving Age.
Beneficiary: A person(s) designated by the policy owner to receive the proceeds of an insurance policy upon the death of the insured.
Benefit: For life insurance, it is the amount of money specified in a life insurance contract to be paid to the beneficiary upon the death of the insured. It is commonly referred to as the Death Benefit. For health insurance, it is the amount of money payable by a health plan for the cost of covered services, as defined in the Certificate of Coverage.
Benefit Period: The maximum length of time for which benefits will be paid under the terms of the insurance policy.
Blood Chemistry Panel: A series of blood tests that an insurance company may require of applicants during the underwriting process.
Broker: A licensed representative who sells and services insurance policies. Brokers represent their customers and are usually contracted to offer insurance products from several different insurance companies.