Which term refers to the person who is the insured?

Which term refers to the person who is the insured?

• A. Agent
• B. Policyowner
• C. Insured
• D. Premium

Answer: (C)

In insurance terms, the insured is the person whose life or health is protected by the policy. The policy pays benefits when a covered event happens to that person, such as death or disability. The policyowner is who owns the contract, controls its terms, names beneficiaries, and typically pays the premiums. The agent is the licensed professional who sells and assists with the policy. The premium is the ongoing payment required to keep the policy in force. So, when the question asks who is referred to as the person who is insured, the correct term is the insured—the individual whose risk is being underwritten by the policy.

In insurance terms, the insured is the person whose life or health is protected by the policy. The policy pays benefits when a covered event happens to that person, such as death or disability. The policyowner is who owns the contract, controls its terms, names beneficiaries, and typically pays the premiums. The agent is the licensed professional who sells and assists with the policy. The premium is the ongoing payment required to keep the policy in force. So, when the question asks who is referred to as the person who is insured, the correct term is the insured—the individual whose risk is being underwritten by the policy.