Which statement best describes the Joint Life Income Option?

Which statement best describes the Joint Life Income Option?

• A. Distributions for 2 or more recipients with payments continuing after the death of the last recipient
• B. Distributions for 2 or more recipients and continue after first death
• C. Distributions for 2 or more recipients and stop with the death of the first recipient
• D. Distributions for a single recipient

Answer: (C)

The Joint Life Income Option is a multi-life payout that ends at the first death. It provides distributions to two or more recipients while both are alive, but the payments stop when the first person dies. If the goal is to continue payments after one dies, you’d choose a joint-and-survivor option; if there’s only one person, it’s a single-life option. In this sense, the statement that best describes it is: Distributions for 2 or more recipients and stop with the death of the first recipient.

The Joint Life Income Option is a multi-life payout that ends at the first death. It provides distributions to two or more recipients while both are alive, but the payments stop when the first person dies. If the goal is to continue payments after one dies, you’d choose a joint-and-survivor option; if there’s only one person, it’s a single-life option. In this sense, the statement that best describes it is: Distributions for 2 or more recipients and stop with the death of the first recipient.