When it comes to life insurance, it's important to understand the concept of a third beneficiary. This is the individual who is next in line to receive the benefits if the primary and secondary beneficiaries are unable to. Essentially, a third beneficiary acts as a safeguard to ensure that the proceeds are still distributed in the event of unforeseen circumstances. It's a crucial aspect to consider when considering life insurance, as it ensures that your loved ones are taken care of in the event of your passing.
