49. Under a multiple protection policy, the policy that pays on the death of the last person is called
Answer: B
The policy that pays on the death of the last person is called a survivorship life policy.
A survivorship life policy is specifically designed to provide a death benefit upon the death of the last insured individual, making it distinct from other types of life insurance policies.
A) a universal life policy.
A universal life policy is a type of permanent life insurance that offers flexible premiums and death benefits. However, it does not specifically pay upon the death of the last insured; rather, it pays the death benefit upon the death of the policyholder, making this option incorrect in the context of the question.
B) a survivorship life policy.
A survivorship life policy is indeed the correct answer. This type of policy covers two individuals and pays out only after both have passed away, making it suitable for estate planning and providing for beneficiaries after the last insured's death.
C) a joint life policy.
A joint life policy provides coverage for two individuals and pays out upon the death of the first insured. This means it does not fulfill the criteria of paying on the death of the last person, thus rendering this option incorrect.
D) an annuity life policy.
An annuity life policy is not a life insurance policy; instead, it is a financial product designed to provide regular income payments during retirement. It does not pay a death benefit, making this option irrelevant to the question.
Conclusion
The survivorship life policy is the only option that specifically addresses the requirement of paying out upon the death of the last insured individual. All other options either do not fit the criteria or serve different purposes within the realm of life insurance and financial planning.