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A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
F
Face Amount:
The death benefit amount of a life insurance policy.
Federal Estate Tax:
The federal tax placed on the deceased's estate amounting to the calculated value of the estate.
FEGLI:
Federal Employees' Group Life Insurance.
Fiduciary:
A person such as an attorney, executor of an estate, or a trustee holding money or property who is obligated to act ethically and responsibly on behalf of someone else. The fiduciary must safeguard the property left under his or her care.
Flat Extra Premium:
A fixed premium paid in addition to the regular premium. This may be charged for the length of the contract or for specified years. A $5 per thousand flat extra added to a $100,000 life insurance policy would increase the premium by $500 a year.
Free Look:
An opportunity for the policyholder to examine the terms of a new policy and surrender it for a complete refund of premium if not fully satisfied. This period is usually 10, 20 or 30 days, depending on the state in which the policy is written in.
G
Gift Tax:
A federal and state gift tax on the transfer of property.
Grace Period:
A period of 30 or 31 days after the premium due date when the insured can pay the premium and keep the policy current while the policy remains in force.
Graded Premium:
A life insurance policy with a low initial premium that increases over a period of time until it becomes level.
Group Life Insurance:
Life insurance offered to members of a group, usually employees. The employee typically has a master policy and all employees are offered some coverage without any underwriting requirements. The premiums may be paid by the employer, the employee or both.
Guranteed Issue:
The purchase of insurance without an exam in which the present and past physical conditions of the applicant are not measured.
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