A group life insurance benefit providing death protection to the dependents of an employee covered under the plan.
Insurance Encyclopedia
Dependent properties
See: Business income, dependent properties.
***
Properties which an insured business does not own, operate or control, but upon which the insured’s income depends. Examples include major suppliers or customers. Previously known as contingent properties.
Dependent properties (Property Insurance)
Properties that contribute to the insured’s income but are not owned or operated by the insured, for example, customers.
Dependent-care spending account
Benefit that allows employees to set aside a portion of their wages, before taxes are taken out, to pay for certain dependent-care expenses such as child care or elder care, over-the-counter medically related items, and health premiums. Funds are taken out of an employee’s wages through payroll deductions and put into an account controlled by a plan administrator. The employee submits proof of qualified expenses to the plan administrator, who will reimburse the employee from the employee’s account. Employees have to estimate expenses carefully because any unused money at the end of the year is forfeited. Also known as a tax saver or flexible spending account (FSA) .
Dependents
Spouse and children of the insured. Under some insurance policies, parents, other family members, and domestic partners may be covered as dependents.
Depolarisation
See: POLARISATION.
Deposit
The term deposit refers to sums of money which may have to be deposited with a Government before permission in granted to transact Insurance business.
Deposit (Pensions)
Payments made toward a fund by the employee, the employer, or both.
Deposit administration (Liability)
A group annuity offering an undivided account in which contributions can amass. The money in this account is then used to buy annuities for each person’s retirement.
Deposit administration contract
Mechanism to fund a retirement plan in which the plan sponsor puts the plan assets in an insurance company’s general account. At the time of the employee’s retirement, the insurer withdraws sufficient funds from the general account to buy an annuity for the plan participant. This type of contract protects the plan sponsor from investment loss and guarantees minimum investment returns.