FAQ - Child Plans
As the term suggests, Nominee is a person who is nominated or appointed by the policyholder to look after his/her financial accounts, assets, etc., after his death. It is the responsibility of the nominee to disburse the proceeds among the legal heirs.
A Beneficiary is an individual who has a financial interest in the life of the policyholder. The beneficiary can be either the legal heirs or financial institutions like banks who have provided loan/ finance to the policyholder.
In certain cases, the nominee and beneficiary can be the same person.