What is an Insured?
An insured is a person or entity covered by an insurance policy. They are the ones named in the policy and responsible for paying the premiums due in order to keep the policy in effect. They may not necessarily be the ones to receive the benefit of the policy, though.
How to become an insured
When you put your policy in place, you and the insurance provider agree on an amount of coverage, i.e., the policy benefit. For life insurance, this is the death benefit the people you choose (the beneficiary) will receive when you pass away.
Then, your insurance provider sets your premiums, or the amount you’ll need to pay in order to keep the policy active. You will usually pay these premiums on a regular basis, like monthly or quarterly.
Policy benefits beyond the insured
With some types of insurance, like home or renters insurance, the insured is the one who receives the policy benefit. But that differs between insurance products. With life insurance, for example, the insured does not receive the policy benefit. Instead, their beneficiaries, or the people they choose, get their policy benefit paid out to them after the insured dies.