Which life annuity option pays for the life of two lives?

• A. Life income
• B. Endowment
• C. Joint & survivor income
• D. Lump-sum

Answer: (C)

Payouts in a life annuity are shaped by who is covered and how long payments continue. The option that provides income for two people and keeps paying after the first person dies is the joint & survivor arrangement. It’s designed so both lives are covered, with payments continuing to the surviving person after the first death. That means the annuity is not limited to one life or to a fixed end date; it supports two lives for as long as either person is alive, typically with the survivor receiving a reduced amount after the first death.

In contrast, a life income option pays for only one life and ends at that person’s death. An endowment is a payout tied to a specific date or to the death of the insured, not to two lives. A lump-sum delivers a single payment rather than ongoing income.