Which option would be considered if you want a lifetime payout that stops upon death of the annuitant and does not provide for a survivor?

Which option would be considered if you want a lifetime payout that stops upon death of the annuitant and does not provide for a survivor?

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

Answer: (B)

A pure life annuity fits a lifetime payout that stops at the annuitant’s death with no survivor benefit. In this arrangement, you receive payments for as long as you live, and once you die, payments end—there's no continuation to a survivor or to heirs. That’s exactly the feature described: lifetime income that stops when the annuitant dies and provides no survivor. By contrast, a joint life or joint and survivor setup is designed around two lives and typically includes continued payments to a survivor after one dies. A multiple life annuity covers more than one life and is structured so payments last until the last of the covered lives dies, which also does not match the requirement of ending at the first death.

A pure life annuity fits a lifetime payout that stops at the annuitant’s death with no survivor benefit. In this arrangement, you receive payments for as long as you live, and once you die, payments end—there's no continuation to a survivor or to heirs. That’s exactly the feature described: lifetime income that stops when the annuitant dies and provides no survivor.

By contrast, a joint life or joint and survivor setup is designed around two lives and typically includes continued payments to a survivor after one dies. A multiple life annuity covers more than one life and is structured so payments last until the last of the covered lives dies, which also does not match the requirement of ending at the first death.