Guaranteed Death Benefit

Guaranteed Death Benefit A guaranteed death benefit is a benefit term that guarantees that the beneficiary, as named in the contract, will receive a death benefit if the annuitant dies before the annuity begins paying benefits. A guaranteed death benefit is a safety net if an annuitant dies while the contract is in the accumulation phase. There are two types of death benefit; An increasing death benefit which rises in value over years. The other options is a level death benefit, which remains unchanged whenever a person dies, be it shortly after purchasing a policy or many years down the road. The guaranteed death benefit received amount differs among companies and contracts, but the beneficiary is guaranteed an amount equal to what was invested or the value of the contract on the most recent policy anniversary statement, whichever is higher. The guaranteed death benefit period will terminate on the earlier of the guarantee period expiration date, as shown in the Schedule, or on any monthly processing date when: a)The sum of the actual premiums paid, minus the amount of any partial withdrawals and any policy loan including accrued but unpaid interest, is less than the sum of the guarantee period monthly premiums to the next monthly processing date; or b)Your account value is not diversified according to the requirements described. Remember a death benefit is a payout to the beneficiary of a life insurance policy, annuity, or pension when the insured or annuitant dies. #benewinsurance #insurtech #inclusiveinsurance #insurance #reinsurance #takaful