Life Insurance Basics
What is a named insured in life insurance?
The named insured in a life insurance policy is the person whose life is insured. The death benefit is paid when the named insured dies. The named insured may or may not be the policy owner. For example, a business may own a key man policy on the life of a key employee.
Key Points
- Named insured: the person whose life is insured
- Death benefit paid when named insured dies
- Named insured may or may not be the policy owner
- Key man policy: business owns policy on key employee's life
- An independent agent can help you understand the roles in a life insurance policy