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LSDefine
Simple English definitions for legal terms
benefit certificate
Read a random definition: Julian calendar
A quick definition of benefit certificate:
A benefit certificate is a piece of paper that promises to give someone a certain amount of money if certain things happen. It's like a special note that says "I promise to give you this much money if this happens." These notes are often given out by groups that help people, like clubs or organizations.
A more thorough explanation:
A benefit certificate is a written promise to pay a certain amount of money to a specific person under certain conditions. These certificates are usually issued by fraternal and beneficial societies.
- A fraternal society may issue a benefit certificate to a member's family upon their death, promising to pay a certain amount of money to help with funeral expenses.
- A beneficial society may issue a benefit certificate to a member who becomes disabled, promising to pay a certain amount of money to help with medical expenses.
These examples illustrate how benefit certificates work. They are a way for societies to provide financial assistance to their members in times of need.