Glossary of Insurance Terms

Baby Boomer

A person born between the years of 1945 and 1964.

Bad Faith

A charge against the insurance company that they have not acted in a way that is consistent to the way a reasonable policyholder would have expected.

Beneficiary

The person designated or provided for by an insurance policy's terms to receive any benefits provided by the policy or plan upon the death of the insured

Benefit Period

The amount of time an insurance company will make payments to the individual to pay for care, etc after the deductible has been satisfied.

Benefit Triggers

Specific situations that start payment of benefits

Benefits

Money paid by the insurance company to the claimant.

Benefit Limits

An amount that represents the daily benefit times the maximum number of days you can receive for all benefits combined under the policy

Benefit Options

Each carrier's insurance type generally has a set list of available benefits. Each benefit comes with a price

Binder

A written or oral contract that temporarily places an insurance policy in effect when it is not possible to issue a new policy or endorse the existing policy immediately. The binder must meet all the terms of the policy issued

Binding Receipt

A receipt given for a premium payment with the application for the insurance. If the policy is approved, this receipt binds the company to make the policy effective from the date of the receipt

Board and Care Homes

Provides seniors with a room, meals, and assistance with ADL's and some supervision for their safety. These homes are generally not certified by Medicaid, but are licensed and approved by the State