What does RMD mean? Read on to discover the definition & meaning of the term RMD - to help you better understand the language used in insurance policies.
Required Minimum Distribution (RMD) is the minimum withdrawal for certain retirement plans, as prescribed by the Internal Revenue Service. This usually begins on the first April after the worker has reached 70.5 years of age and retires from their job.
More Insurance Terms And Definitions
The Merriam-Webster Dictionary defines insurance as:
b: Coverage by contract whereby one party undertakes to indemnify or guarantee another against loss by a specified contingency or peril.
c: The sum for which something is insured.
We hope the you have a better understanding of the meaning of RMD. If you are looking for the meanings of other important insurance terms and their definitions, just click on the letter below to find the words & concepts you are looking for: