Coverage of two or more individuals with the death benefit payable upon the remaining person's death is a feature of

Rationale

Last survivor insurance provides coverage of two or more individuals with the death benefit payable upon the remaining person’s death.

This type of insurance policy is designed to pay out the death benefit only after the last insured individual passes away, making it a unique option for couples or partners who wish to plan their financial legacy together.

A (beneficiary insurance.) YOUR ANSWER

Beneficiary insurance typically refers to policies where a designated beneficiary receives the payout upon the death of the insured. This type of insurance does not involve multiple individuals or a shared benefit structure, and thus does not apply to the scenario of coverage involving two or more insured parties.

B (joint life insurance.) YOUR ANSWER

Joint life insurance covers two individuals and pays out upon the death of the first insured. While it involves multiple persons, the benefit is triggered immediately upon the first death, rather than waiting for the last survivor, which is the defining characteristic of last survivor insurance.

C (endowed life insurance.) YOUR ANSWER

Endowed life insurance combines life insurance and savings components, paying a benefit either upon death or at a certain age. This type does not involve multiple insured individuals or defer benefit payment until the last survivor's death, making it not applicable in this context.

D (last survivor insurance.) CORRECT

Last survivor insurance uniquely provides coverage for two or more individuals, with the death benefit payable only after the last insured individual passes away. This feature is particularly beneficial for estate planning, ensuring that funds are available after the death of the last insured.

Conclusion

Last survivor insurance stands out as the only option in this question that specifically caters to the arrangement of multiple insured individuals, with benefits payable only upon the death of the last person. This distinct structure contrasts with other types of insurance that either pay out upon the first death or do not cover multiple individuals, thereby highlighting the unique financial planning advantages of last survivor policies.

Coverage of two or more individuals with the death benefit payable upon the remaining person's death is a feature of

Last survivor insurance provides coverage of two or more individuals with the death benefit payable upon the remaining person’s death.

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