What is the difference between policyholder, policy insured, and beneficiary?

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The Policy holder: The person who applies for the policy and goes into agreement with the insurance company. He or she could deal with the company on all policy-related issues including information updates, policy cancellation and upgrade etc. And a policyholder must be 18 years old or above.

The Insured Person: The person who is protected by the policy. A policyholder could be or not the policy insured.

Example 1: You (aged 46) apply for medical insurance for yourself, then you are the policyholder and policy insured at the same time.

Example 2: You (aged 46) apply for medical insurance for your baby (aged 3), then you are the policyholder while your baby is the policy insured.

Beneficiary: The person who gets the benefit/ compensation from the insurance company when the policy insured fulfills the conditions for claims.The term usually appears in Term Life insurance. In a policy, there could be more than one beneficiary, and different percentages could be allocated for compensation.

Example 3: You (aged 46) applied for term life insurance for yourself. In the policy, if you died, the benefit/ compensation would go to your brother, Simon (aged 43). Then you are the policyholder and policy insured while Simon is the Beneficiary.

Example 4: You (aged 46) applied for term life insurance for yourself. You have allocated 30% of the benefit to your brother, Simon and 70% to your baby, Louis. In this case, You are the policyholder and policy insured while Simon and Louis are both the beneficiary, receiving the benefit with the allocated ratio.