Listen to a Business English Dialogue About Living benefits
Jade: Hi Lily, have you heard of the term “living benefits” in insurance?
Lily: No, I haven’t. What does it mean?
Jade: Living benefits are additional features in some insurance policies that provide policyholders with access to benefits while they are still alive, such as accelerated death benefits or long-term care benefits.
Lily: Oh, I see. So, it’s a way for policyholders to receive financial support during their lifetime?
Jade: Exactly! It can help cover medical expenses or provide financial assistance in case of a critical illness or disability.
Lily: Are living benefits included in all types of insurance policies?
Jade: No, not all insurance policies offer living benefits. They are more commonly found in certain types of life insurance policies, such as whole life or universal life insurance.
Lily: How do living benefits differ from death benefits?
Jade: Living benefits are paid out to policyholders while they are alive, whereas death benefits are paid out to beneficiaries upon the policyholder’s death.
Lily: Can you give me an example of how living benefits might be used?
Jade: Sure! If a policyholder is diagnosed with a terminal illness, they may be able to access a portion of their life insurance death benefit early to cover medical expenses or make the most of their remaining time with loved ones.
Lily: Thanks for explaining, Jade. Living benefits sound like an important consideration when choosing an insurance policy.
Jade: You’re welcome, Lily. They can provide valuable peace of mind and financial support during challenging times.
