• Life Insurance Types
• Life Insurance Coverage
• Purposes of Life Insurance

Life Insurance Coverage

Single Life Insurance Coverage - This coverage provides death benefit protection on the life of one insured. Policy proceeds are payable at the death of the insured. This coverage is used for a variety of concepts.

Joint Life Insurance Coverage - Also known as second-to-die and survivorship life insurance, this coverage provides death benefit protection on two insureds. Policy proceeds are payable at the second death of the two insureds. This coverage is typically utilized in an estate planning context where use of the unlimited marital deduction allows estate tax to be avoided at the first death with the tax paid at the second death.

First-to-Die Coverage - This life insurance coverage provides death benefit protection on a small group of insureds. Policy proceeds are payable at the first death among the group. Typically purchased only in a business situation for buyout of an ownership interest at death, first-to-die coverage availability has been on the decline in recent years due to its complexity and the increased affordability of other coverage types.