| WORD | DESCRIPTION |
| Backdating | A procedure for making the effective date of a policy earlier than the application date. Backing is often used to make the age of the consumer at issue lower that it actually was in order to get lower premium. State laws often limit to six months the time to which policies can be backdated. |
| Beneficiary | Denotes either the policyholder or a person designated by him. The beneficiary enjoys the rights, title and benefits under the policy. It is the beneficiary who gets the sum assured with the bonus if any, on the death of the proposer or on the maturity of the policy. |
| Bonus | The additional sum that the policyholder will get during the term of the insurance plan or at maturity of the plan, provided he has paid all premium amounts due for a minimum of 5 years. |
