What is referred to as “inter vivos” in the context of insurance?

The term “inter vivos” refers to transactions or arrangements that occur during a person's lifetime. In the context of insurance, it specifically denotes payments or benefits that are available to the policyholder while they are still alive. This can encompass various types of insurance where the policyholder receives funds or benefits prior to death, such as certain life insurance policies that offer living benefits or accumulated cash values. Understanding this terminology is crucial for distinguishing between different types of insurance products and their associated benefits, as it directly impacts financial planning and the potential use of funds during the lifetime of the insured.