Two or more annuitants receive payments until the first death among them, and then payments stop.

Two or more annuitants receive payments until the first death among them, and then payments stop.

• A. Joint life annuity
• B. Joint and survivor arrangement
• C. Multiple life annuity
• D. Pure life annuity

Answer: (A)

The payments are tied to more than one life, and the timing hinges on the first death among them. In a joint life annuity, the contract pays as long as both named annuitants are alive, but once the first person dies, the payments stop. This contrasts with a joint and survivor arrangement, where payments would continue for the remaining person until that survivor dies (often at a reduced amount). A multiple life annuity would extend payments until the last of several lives dies, and a pure life annuity would pay only for the life of a single annuitant, stopping at that person’s death. So, the scenario described—payments stop at the first death—fits a joint life annuity.

The payments are tied to more than one life, and the timing hinges on the first death among them. In a joint life annuity, the contract pays as long as both named annuitants are alive, but once the first person dies, the payments stop. This contrasts with a joint and survivor arrangement, where payments would continue for the remaining person until that survivor dies (often at a reduced amount). A multiple life annuity would extend payments until the last of several lives dies, and a pure life annuity would pay only for the life of a single annuitant, stopping at that person’s death. So, the scenario described—payments stop at the first death—fits a joint life annuity.