Endowment refers life insurance that combines the characteristics of savings and insurance: the policyholder collects a stated sum if he or she is living when the policy matures. The beneficiary receives the amount the endowment was intended to accumulate (the face value) if the policyholder dies before the policy is fully paid.

Webster Dictionary Meaning

1. Endowment
- The act of bestowing a dower, fund, or permanent provision for support.
- That which is bestowed or settled on a person or an institution; property, fund, or revenue permanently appropriated to any object; as, the endowment of a church, a hospital, or a college.
- That which is given or bestowed upon the person or mind; gift of nature; accomplishment; natural capacity; talents; -- usually in the plural.
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