Glossary

Per capita

A way of dividing proceeds equally among the named beneficiaries still living at the insured's death, so a deceased one's share goes to the survivors.

Also called: per capita distribution, by the head

Per capita, Latin for "by the head," is a distribution method you can attach to a beneficiary designation. Under a per capita designation, the death benefit is split equally among the named beneficiaries who survive the insured. If one has died, that person's share is divided among the survivors rather than passing to the deceased beneficiary's children.

Say, hypothetically, you name your three children equally, per capita, on a $600,000 policy. If all three survive you, each receives $200,000. If one child died before you, leaving two children of their own, your two surviving children each get $300,000 and those grandchildren receive nothing. Under per stirpes, the grandchildren would have shared their parent's $200,000. Some states and policies use variations, such as per capita at each generation, so the policy's own wording controls.

Per capita suits someone who wants the money to stay with the people they named. The risk is unintentionally cutting out a branch of the family. Naming contingent beneficiaries or choosing per stirpes avoids that. Check what your insurer's form does by default if you don't specify. See per stirpes vs per capita beneficiary designations and run scenarios with the per stirpes vs per capita calculator.

Last reviewed October 4, 2026

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Related terms

Per stirpes A way of splitting proceeds by family branch, so if a beneficiary dies before the insured, that person's share passes to their own descendants. Beneficiary designation The signed instruction on file with an insurer naming who receives a policy's proceeds, in what shares and in what order. Primary beneficiary The person, trust, charity or estate first in line to receive a life insurance death benefit when the insured dies. Contingent beneficiary The person or entity who receives life insurance proceeds only if every primary beneficiary has died or cannot accept the payment. Beneficiary The person, trust, charity or estate named to receive a life insurance death benefit or an annuity's remaining value when the insured or owner dies.

Related guides

What happens if your beneficiary dies before you Who gets the death benefit when a named beneficiary dies first: contingent beneficiaries, shares, anti-lapse rules, simultaneous deaths and the estate fallback. Per stirpes vs per capita beneficiary designations Per stirpes sends a deceased beneficiary's share to their children; per capita splits it among survivors. A worked example and what to check on your form. Primary vs contingent beneficiaries A primary beneficiary is paid first; a contingent beneficiary is the backup. How the two levels work, how to split shares, and what happens when both are gone.

Related tools

Per stirpes vs per capita calculator Shows who receives what from a life insurance payout if one of your children dies before you, under a per stirpes and a per capita designation.