In our efforts to make buying Transamerica life insurance online a clear process, we’ve included this handy reference guide to make some common insurance terms easier to understand.

Another name for a life insurance company, or a person or department at a life insurance company that does underwriting.

The person who will receive your life insurance benefits if your primary beneficiary dies before you.

The amount of money paid or due to be paid when a person insured under a life insurance policy dies, after adjustments for any outstanding policy loans, dividends, paid-up additions or late premium payments (if applicable) are made.

A beneficiary whose interest cannot be cancelled without his or her consent.

The person you’ve chosen to have the first right to receive insurance payments or proceeds upon your death.

The person or party you’ve chosen to receive the benefits from your life insurance policy.

A process which provides an insurance company the opportunity to review and assess customer risk prior to acceptance of the application. May require a potential customer to take a physical exam to satisfy the underwriting requirements.

A type of term insurance that allows you to exchange the term insurance policy for a permanent life insurance policy (whole or universal) without having to take a new medical exam. The premium rate is normally based on the age of the insured at the time of the conversion.

Term life insurance, where the death benefit decreases in amount over the policy term.