Issue link: http://clhia.uberflip.com/i/563156
42 75% of what you've paid into the plan on death or maturity, even if the investments have dropped in value. Information folder. The document your advisor gives you before you buy an individual variable insurance contract. It provides details about the contract and your investment options. Insured. See "Policyholder". Insurer. An insurance company that issues policies and promises to pay benefits. Integration of benefits. The process where an insurance company takes into account income you receive from other benefit plans, such as the Canada and Quebec Pension Plans, when determining your disability benefit amount. For example, your insurance benefit will be "off-set", or reduced, by the amount of CPP benefits that you receive while disabled. Irrevocable beneficiary. A type of beneficiary designation where you need written permission from the beneficiary before changing the beneficiary or making certain changes to your policy. J Joint and last survivor annuity. See "Annuity". K Key person insurance. A type of insurance on the life of a key employee in a business. It's designed to provide cash to hire and train a replacement and replace lost revenues and profits, if the key employee dies. L Lapsed policy. An insurance policy that has ended because you stopped paying premiums and there was not enough money in the policy (cash value) to keep the payments up to date. Level premium life insurance. A type of life insurance where the premium you pay stays the same through the life of the policy. Licence. The official certification a provincial or territorial regulator gives an individual to show the individual is authorized to sell insurance. Life annuity. See "Annuity". Life Income Fund (LIF). A type of retirement plan containing funds transferred from a pension plan. If you leave a pension plan, you may transfer the value of your pension to a LIF. At retirement, income payments from a LIF are subject to upper and lower limits each year, based on the amount in the account and the pension laws that apply to the LIF. Life income option. An option available to beneficiaries to receive their life insurance payout. With this option the insurance company pays the beneficiary regular, equal payments for as long as they live. Life insurance. A type of insurance that pays out when the insured person dies. Life insured. The person whose life is insured. Locked-in. A restriction applied to a "Registered Retirement Savings Plan" or "Registered Retirement Income Fund" if amounts are transferred to that plan from a pension plan. It prevents withdrawals from the plan so that the plan can be expected to provide a retirement income. See "Locked-in Retirement Account", "Locked-in Retirement Income Fund" and "Life Income Fund". Locked-in Registered Retirement Savings Plan (Locked-in RRSP). See "Locked-in Retirement Account". Locked-in Retirement Account (LIRA). A type of "Registered Retirement Savings Plan (RRSP)" containing funds transferred from a pension plan and where the money is locked-in. Also known as "Locked-in Registered Retirement Savings Plan". Locked-in Retirement Income Fund (LRIF). A type of retirement plan similar to a "Life Income Fund". LRIFs are governed by pension laws and aren't available in all provinces. Long-term care insurance. A type of insurance that provides financial support for people who become unable to care for themselves because of a debilitating, severe or chronic illness. Long-term disability insurance. A type of group insurance that replaces part of your income if you become disabled and are unable to work. Long-term disability often starts after short-term disability ends and usually provides coverage for two or more years. M Management Expense Ratio (MER). The MER is a measure of how much it costs to operate and manage a fund. For a segregated fund, the MER often includes the basic guarantee cost. The MER is expressed as a percentage of the fund's value. Master policy. See "Group insurance". Master policyholder. See "Group policyholder". Material facts. Information or a fact you're aware of that could affect an insurance company's decision about whether to insure you and at what cost. For example, if you're being checked for a medical condition when you're applying for insurance, you must tell the insurance company. If you don't, the company could cancel your