In a joint life insurance policy, when is the death benefit paid?

In a joint life insurance policy, the death benefit is triggered and paid upon the death of the first insured person. This means that if either of the individuals covered under the policy passes away, the insurance company will disburse the death benefit to the beneficiaries designated in the policy. This feature distinguishes joint life policies from traditional individual life insurance, where benefits are typically paid only upon the death of the insured person.

The benefit of this arrangement is that it provides financial support to the surviving family member or beneficiaries immediately after one of the insured individuals passes away, helping alleviate potential financial burdens at a critical time.

Other options provide scenarios that do not align with the specifics of a joint life insurance policy. For instance, paying upon the second death would apply to a survivorship or second-to-die policy, which is fundamentally different in structure and purpose from a joint life policy. Specifying a duration or annual payments also does not accurately describe how joint life insurance policies function, as the benefit is contingent on a death event rather than a time-based trigger.