Benefits Lesson

Face Amount

Face amount is the death benefit.

Lesson Script

What This Video Covers

The face amount of a life insurance policy is also called the Death benefit. This is the amount that will be paid to the beneficiary upon the death of the insured, generally tax-free. The death benefit can be split among multiple beneficiaries if the insured sets up the policy that way.
Insurance Terms to Know

Cancellation

Cancellation is termination of a policy before its expiration date by the insured or insurer, subject to policy terms and law.