Three Major Players in Life Insurance

Many people are involved in life insurance. This is an important industry, and many people take advantage of what it has to offer them. There are three major players, and each plays a unique role in choosing life insurance. Are you one of these players? In order to make sure this process works out for you, you must know everybody’s role. The agent, the policyholder, and those who benefit are the three players that you need to become familiar with. Everybody’s role in this process must be respected.

The Agent

The provider is looked at by many people as the boss. Their role as a player is too make sure you have the right product. The agent also needs to look at what is best for the company by assessing your risk to them. When you deal with the agent you are dealing with an expert who knows all the policies and what they can do. They are also the person who will handle your application. Any questions must be directed at the insurance agent. They are the representative from the company that you have chosen. The one thing you must make sure of is that the agent is always working to meet your needs first. Working together with the agent is the best way to get things done.

The Policyholder

The policyholder is the person who has their name on the plan. They are the insured individual. He or she vary from other types though in one important way. He or she is not the person who benefits from the coverage. As policyholder, you can make all the decisions on coverage amount and premiums, based on the options set before you. You can also improve your plan whenever you feel the need to do so. Even though you will not see the benefit, you are still the one who has to make the decision to insure yourself. As a policyholder, it is best if you consult with your family before making any decision that could affect them.

The Beneficiary

The last major player is the beneficiary. He or she is the person, or persons, who will receive the death benefit. A beneficiary can be one person, two or more people, a business, or even a charity. You will not have your name on the contract, expect under the “Beneficiary” part. You are not the one who is insured. You can either be a primary beneficiary, in which case you are the main recipient, or you can be a contingent beneficiary.  The latter type takes the role as main person to benefit if the primary cannot be found. In order to fulfill your role in this process you must know how you can properly file a death claim. You also need to make sure you are familiar with the plan the policyholder has picked out.