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Key Terms

MRT — Insurance & Protection

Life cover, critical illness, income protection and policy terminology.

Key Terms
  • Life AssurancePolicy paying out on death.
  • Term AssuranceLife cover lasting fixed period.
  • Level Term AssuranceFixed payout throughout policy term.
  • Decreasing Term AssuranceCover reducing alongside mortgage balance.
  • Whole of Life PolicyLife cover lasting entire lifetime.
  • Critical Illness CoverLump sum payment on specified illness diagnosis.
  • Income ProtectionRegular income replacement during incapacity.
  • ASU InsuranceAccident, sickness, and unemployment cover.
  • PremiumAmount paid for insurance cover.
  • Sum AssuredAmount insurer pays upon claim.
  • UnderinsuranceInsufficient insurance cover.
  • ExclusionSituation not covered by policy.
  • MoratoriumTemporary exclusion period in policy.
  • Waiver of PremiumInsurer pays premiums during incapacity.