What is the difference between a policyholder and an insured?

The primary difference between a policyholder and an insured is that the former is the person or entity who purchases an insurance policy, while the latter is the individual or entity that the policy covers. The policyholder is the one who pays the insurance premiums, signs the policy agreement and is legally responsible for any decisions surrounding the insurance policy. An insured is the individual or entity that is covered under the policy. The insured has the right to make a claim in the event of an incident. In Washington, the policyholder is the one who owns the insurance policy and is the one who can make changes, control the policy and has the right to cancel it. The insured is the person or business who will benefit from the coverage purchased by the policyholder. The insured is the one who will receive the money from an insurance claim if the policy is valid and the incident is covered. In summary, the policyholder is the person who purchased the policy and is responsible for managing it, while the insured is the person or business who has the right to make a claim if an incident occurs. In Washington, the policyholder is the one who owns the policy and can make changes and cancel it, while the insured is the one who will receive the insurance money if a claim is made.

Related FAQs

What is a statement of fact?
What is a contractual liability exclusion?
What is a duty to defend clause?
What is an assignment of rights?
What is a statutory limit in an insurance policy?
What is the statute of limitations for filing a liability claim?
What are the different types of insurance policies?
What are the time limits for filing an insurance claim?
What is a power of attorney?
What is an insurance appraisal?

What is the difference between a policyholder and an insured?

Related FAQs

Related Blog Posts