The person that buys a life insurance policy is an
Answer Details
The person that buys a life insurance policy is called the assured. An assured is the person who is insured under the life insurance policy, and who pays a premium to the insurance company in exchange for financial protection for their loved ones in the event of their death.
Life insurance is designed to provide financial support to the assured's beneficiaries in case of their unexpected death. The beneficiaries can use the proceeds from the policy to pay off debts, cover living expenses, or pay for the education of their children.
The assured is the person who decides the type and amount of coverage they need, and they can choose from various options provided by the insurance company. They may also designate one or more beneficiaries to receive the proceeds of the policy upon their death.
Overall, the assured plays a crucial role in the life insurance policy by initiating the process, determining the coverage, and paying the premiums to ensure their loved ones are protected financially in case of their unexpected death.