Transferable Insurance Policy


  • A life insurance policy that gives the policyholder the option to sell the policy to a third party. A transferable insurance policy can be used in a viatical settlement, life settlement, or spin-life arrangement whereby a life insurance policyholder makes a third party the beneficiary of the death benefit in exchange for a payment or series of payments larger than the life insurance policy's cash surrender value.

movable insurance policy

Related Terms and Acronyms

  • Assignee Definition,
    • In the insurance industry, an assignee is someone who is assigned ownership of another person's insurance policy.
    • A person appointed to acquire (take) an item, such as a property.
  • Assignor Definition,
    • Insurance Policy Definition,
      • A legal contract between an insurer and entity that specifies what the insurer is required to cover and any benefits the insured entity is entitled to.
    • Life Insurance Definition, Very Important,
      • An arrangement where an insurer agrees to pay a benefit to one or more beneficiaries in the event of the policyholder's death.
      CanEquity offers life insurance.
    • Loss Payee Definition,
      • An entity that is legally entitled to the benefits of an insurance claim.
    • Policy Loan Definition,
      • A loan where a life insurance policyholder's death benefit is used as collateral.
    • Revocable Beneficiary Definition,
      • A beneficiary whose benefit can be modified without his or her consent.
    • Spin-Life Definition,
      • A financial industry that specializes in buying life insurance policies from individuals or convincing individuals to take out new life insurance policies with an investor as a beneficiary.
    • Stranger Originated Life Insurance (STOLI) Acronym,
      • A life insurance policy purchased by someone without any insurable interests with the insured person.
      Illegal in many Canadian provinces.
    Compare. Calculate. Apply today.
    Compare Mortgage RatesMortgage CalculatorsApply for a Mortgage