beneficiary
ben-uh-FISH-ee-er-ee
/ˌbenɪˈfɪʃieri/
The person designated to receive benefits, payouts, or healthcare coverage under an insurance policy or will.
In health insurance, the beneficiary is typically the policyholder and their covered dependents. In life insurance, it is the person who receives the cash payout upon the policyholder's death.
The story behind the word. From the Latin 'beneficium', meaning 'a favor, service, or kindness', which is a compound of 'bene' (well) and 'facere' (to do or make). A beneficiary is literally the person for whom 'good is done' through the contract.
Word relationships
- recipient: Recipient is a general term for anyone who receives something, while beneficiary has a specific legal and financial connotation of receiving contractually designated benefits.
- heir: An heir receives property or titles through inheritance laws, whereas a beneficiary receives assets directly via a designated contract (like insurance or a trust).
- benefactor: A benefactor is the person who gives help or money, whereas a beneficiary is the one who receives it.
Commonly confused with
- benefactor: A benefactor gives the money or benefit; a beneficiary receives it.
Word family
- benefit (noun/verb): An advantage or profit gained from something; to receive an advantage.
- beneficial (adjective): Resulting in good; favorable or advantageous.
Collocations
- primary beneficiary
- designated beneficiary
- sole beneficiary
- change of beneficiary
Example sentences
- "The policyholder named his spouse as the primary beneficiary of his life insurance policy, with his children listed as contingents." A legal clause in an insurance contract.
- "Each beneficiary enrolled in the family health plan is issued an individual identification card for medical visits." An explanation of health plan enrollment.
Memory hook
Focus on the prefix 'bene' (good) and 'fit' (fits you). The beneficiary is the person whom the good benefits fit perfectly. The beneficiary receives the benefits.
When not to use
Do not use 'beneficiary' to describe the person performing the good deed; that is the benefactor.
Fun facts
- In medieval times, a 'benefice' was a grant of land given to a priest or vassal in exchange for services, which is the direct ancestor of our modern word beneficiary.
Related words
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