Beneficiary

Definition

Beneficiary is a noun that refers to a person or entity entitled to receive benefits, profits, or advantages from a will, trust, insurance policy, or other financial arrangement.

Parts of Speech

• Noun

Pronunciation

American English

• IPA Pronunciation: /ˌbɛnɪˈfɪʃiˌɛri/
• Respelling: ben-uh-FISH-ee-er-ee

British English

• IPA Pronunciation: /ˌbɛnɪˈfɪʃəri/
• Respelling: ben-uh-FISH-uh-ree

The pronunciation of "beneficiary" differs slightly in American and British English, mainly in the ending sounds.

Etymology

The word "beneficiary" originates from the Latin "beneficiarius," meaning "person who receives a favor." It was derived from "beneficium" (benefit or favor), which itself is formed from "bene" (well) and "facere" (to do or make). The term entered English in the 17th century, focusing on those entitled to receive financial benefits.

Derivatives

• Beneficiaries (plural noun)
• Beneficiate (verb, rare)
• Beneficiation (noun, rare)
• Beneficiaryship (noun)
• Beneficiaryism (noun, rare)

Synonyms

• Heir
• Recipient
• Inheritor

Antonyms

• None

Usage

The term "beneficiary" is commonly used in legal, financial, and insurance contexts to identify individuals or organizations designated to receive assets or funds. For example, "The policyholder named his children as the primary beneficiaries," or "The charity was the main beneficiary of her estate." It generally implies a formal arrangement where someone is legally entitled to receive benefits.

Related Terms

• Inheritance: Assets or property received from a deceased person’s estate.
• Trust: A fiduciary arrangement where a trustee holds assets on behalf of beneficiaries.
• Bequest: A specific item or amount of money left to a beneficiary in a will.

Detailed Definitions

Noun

• A person or entity entitled to receive benefits: Refers to individuals or groups designated to receive funds or assets from a financial agreement or legal document.
  • Example: "He was named as the sole beneficiary in his father’s will."
• An individual or organization benefiting from a charitable act: Describes those who receive benefits or advantages through gifts, endowments, or charity.
  • Example: "The foundation was the primary beneficiary of the artist’s estate."