Home
Wiki User
Answered 2010-09-14 14:31:08
A policy assignment provision in a life insurance contract is one that permits the owner of the policy to sell, give or to pledge the policy as collateral. It is a common, but not universal, provision in modern policies.
Your Answer
Still Have Questions?
Related Questions
What is Absolute Assignment of Life Insurance Policy?
Absolute assignment of a life insurance policy should be explained the the Assignment Clause of your life insurance contract. This is a feature in a life insurance policy allowing a policyowner to freely assign (give, or sell) a policy to another, or institution. The fact that life insurance is freely assignable makes it a useful financial instrument through which to secure a loan.
What does absoloute assignment mean in life insurance?
There are 2 types of assignments in life insurance. Absolute Assignment - This means that you give up all of your rights to a life insurance policy forever. An absolute assignment may be used if you are selling your life insurance policy, or during a divorce where you give up all rights to your policy. Collateral Assignment - A collateral assignment is when you give up your rights to a policy until you have satisfied your collateral requirements. A loan is a classic example where a bank may require that you get a life insurance policy with a collateral assignment. If you still owe the bank money when you die, the bank would be repaid its money and any leftover would be paid to your beneficiaries.
Can you change insurance policy as needed?
No, a insurance policy can not be changed.....rather it may be alter by assignment ( transfer of the ownership)...
It is not important to have a life insurance policy.?
It is not important to have a life insurance policy.
What is the executor on a life insurance policy?
The Policy Holder of a life insurance policy is the executor of the said policy.
How can you use your life insurance as collaterol?
If you are borrowing money from a bank, the bank may require a collateral assignment of a life insurance policy in order to pay off the loan should you die prematurely. A collateral assignment will pay the bank off first in the event of your death with any leftover paid out to your beneficiaries. Once your loan is paid off, you can have the collateral assignment removed from your policy.
Does homeowners insurance pay off your mortgage if one of the homeowners dies?
No. For that kind of benefit you need mortgage insurance or a life insurance policy.No. For that kind of benefit you need mortgage insurance or a life insurance policy.No. For that kind of benefit you need mortgage insurance or a life insurance policy.No. For that kind of benefit you need mortgage insurance or a life insurance policy.
Life Insurance Policy?
form_title=Life Insurance Policy form_header=Protect your loved ones with a lifetime of financial security. Find a life insurance policy customized to fit your needs. What type of life insurance policy do you want to buy?= () Term Life Insurance () Permanent Life Insurance () Both () Not Sure How large of a life insurance policy do you want to buy?=_ Who will it cover?=_ Who would you list as beneficiary?=_
What is another word for whole life insurance?
You can call a whole life insurance policy as a "Non-Endowment Life Insurance Policy".
What is portable life insurance?
A life insurance policy is "portable" when upon leaving the group policy, you transfer your life coverage to an individual life policy with the same insurance carrier with no changes to the policy or increase in premium.
What policies are offered by General American Life Insurance?
There are many policies offered by General American Life Insurance. These include the Variable Life Insurance policy, the Condo Insurance policy and the Boat Insurance policy.
Is permanent life insurance the same as whole life insurance?
Technically, there is no insurance policy called as permanent life insurance. However, you can treat whole life insurance policy as permanent since the policy covered the whole life span of the policy holder and benefit is payable to nominee in the event of any eventuality of the policy holder.
How do you locate a life insurance policy?
how do you lacate a life insurance policy that was with southern life and health insurance company 30 years ago
What is ordinary life insurance?
Actually, whole life insurance policy other than endowment,single premia or ulip policy can be called ordinary life insurance policy.
How do you cash in a life insurance policy?
You call the life insurance company and get the present cash value out of the policy. The policy will then be divested.
Can the executor get the amount of the life insurance policy?
NO.. unless the policy does not have nomination. Only nominee will get the proceeds of life insurance policy.
What insurance policy is exempt from the life insurance policy illustration guidelines?
variable life insurance exceeding 10,000 dollars.
What is an unmatured life insurance policy?
The life insurance policy has a maturing date that determines the time it takes for a policy to accumulate the amount of money essential for the policy. An unmatured life insurance policy is one that hasn't yet reached the end of its policy.
What is a sentence using the word policy?
The principal explained the new assignment policy to the students.His insurance policy covered the damage to his car.
What is a paid up insurance policy?
A paid up insurance policy is a life insurance policy under which all life insurance premiums have already been paid, with no further premium payments due on the policy.
Does a drug overdose break a life insurance policy?
A drug overdose does not break a life insurance policy.
What is the penalty for forged signature on life Insurance policy?
murder and forge signature life insurance policy
Can you stop a term life insurance policy?
Yes, you can. Call the life insurance company and cancel the policy.
Can i buy a life insurance policy on anyone?
No. You have to have an insurable interest in the person's life in order to take out an insurance policy on their life.
Still have questions?
