Beneficiary


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Related to Beneficiary: contingent beneficiary

Beneficiary

Term used to refer to the person who receives the benefits of a trust or the recipient of the proceeds of a life insurance policy.

Beneficiary

1. In insurance, the person or (more rarely) organization that receives money from the insurance company when the insured event occurs. For example, in life insurance, when the insured person dies, a beneficiary may be his/her spouse This means that the spouse receives the agreed-upon amount of money from the insurance company.

2. In annuities, the annuitant. The annuitant is the person who receives the agreed-upon amount of money from the annuity starting at the agreed-upon time. Depending on the type of annuity, the annuitant may be the person who paid into the annuity, or may be a relative or other designee of that person, such as a widow or widower.

Beneficiary.

A beneficiary is the person or organization who receives assets that are held in your name in a retirement plan, or are paid on your behalf by an insurance company, after your death.

If you have established a trust, the beneficiary you name receives the assets of the trust.

A life insurance policy pays your beneficiary the face value of your policy minus any loans you haven't repaid when you die. An annuity contract pays the beneficiary the accumulated assets as dictated by the terms of the contract.

A retirement plan, such as an IRA or 401(k), pays your beneficiary the value of the accumulated assets or requires the beneficiary to withdraw assets either as a lump sum or over a period of time, depending on the plan. Some retirement plans require that you name your spouse as beneficiary or obtain written permission to name someone else.

You may name any person or institution -- or several people and institutions -- as beneficiary or contingent beneficiary of a trust, a retirement plan, annuity contract, or life insurance policy. A contingent beneficiary is one who inherits the assets if the primary beneficiary has died or chooses not to accept them.

beneficiary

A person who receives the benefits from something although perhaps not the legal owner of the thing.In real estate,the term is usually encountered in the context of a trust,in which a trustee holds what is called bare legal title to the property,but the property itself and all sums gained from the property are held for the beneficiary.Care should be taken when buying,selling,or leasing property that involves a beneficiary,and,if at all possible,one should gain the beneficiary's signature even though it is not technically required.Otherwise,you could find yourself in the middle of litigation between the trustee and the beneficiary if the beneficiary claims the actions taken were illegal and not authorized.

References in periodicals archive ?
USCIS or DOS will contact the beneficiary to schedule the appointment and explain any pre- interview requirements, including instructions on completing the medical exam.
If there are no surviving beneficiaries, then your beneficiary is generally the "estate of the insured," which means the death benefits end up being probated and ultimately distributed according to the instructions of the decedent's last will and testament.
When the beneficiary submits documents to the issuing bank, the bank's only duty is to examine the documents and determine whether they comply with the terms and conditions of the letter of credit.
Should the account owner die first, the spouse would either remain a beneficiary of the account or transfer the funds to the spouse's IRA.
If the beneficiary of the IRA is someone other than the spouse, one or more beneficiaries could disclaim their interest so that the IRA flows to a younger person, thus stretching out the distributions over a longer period.
The NONC must specify the reason why the beneficiary does not meet SNF coverage guidelines; any financial liability that is shifted to the beneficiary and the effective date; specify what alternative services are covered; and procedures for the beneficiary to appeal the determination including expedited appeal rights.
This change stems from the much-publicized Y2K information management problem; HCFA's information management system is unable to track a beneficiary through the system to discern when the cap has been reached.
If the insured person is careful to transfer to the trust all the rights and incidents of ownership of the policy, including the right to change the beneficiary, the life insurance proceeds will not be subject to estate tax.
The subjects were categorized according to disability beneficiary status and closure status in the following configurations: SSI Status 26-closures--40: SSI Status 28 and 30 closures--16: SSDI Status-26 closures - 35: SSDI Status-28 and 30 closures -- 7: SSI/SSDI 26 Status closures -- 11: and SSI/SSDI Status-28 and 30 closures -- 7.
The Trustee expects to provide information to each beneficiary regarding the fair market value of the AmeriVest assets transferred to the Trust by the beneficiary no later than February 28, 2007.
A designated beneficiary is an individual who is named on the IRA beneficiary form, not in the will.