A survivorship life insurance or a second to die life insurance is a life insurance policy that covers the lives of two individuals with just one policy and premiums to only one policy. This policy pays a death benefit after both insureds have died. The cost for this survivorship life insurance policy is usually lower than the cost for two individual policies.
A survivorship life insurance policy is most appropriate for individuals who would only need to pass along their death benefit upon the second death. Here are a few special scenarios that make second to die life insurance coverage especially appealing:
- A couple that has a special needs child who they wish to provide for financially upon the second death.
- A couple that is concerned about the high premium of individual coverage because one of the proposed insured may be not in optimal health.
- A business owner or partners that are looking to provide funds for the business in the event that both partners die (whether the funds are used to pay liquidation expenses or to help keep the business operating until it can be sold).
- A couple who is looking for a financial vehicle to fund estate taxes or provide an inheritance upon the second death.
Today, you can find survivorship life insurance policies in all three major kinds of life insurance policies: whole life, universal life and even term life. The type of insurance policy that is appropriate for you depends on your individual scenario. Please call (866) 972-3262 to speak with one of our experienced specialist or complete this short life insurance quote request form now to decide whether survivorship or second to die life insurance is right for you.
