Life Insurance Basics
What is a first-to-die life insurance policy?
A first-to-die life insurance policy covers two people and pays the death benefit when the first person dies. First-to-die policies are commonly used by couples who need income replacement when one spouse dies. First-to-die policies have higher premiums than second-to-die policies.
Key Points
- First-to-die: pays death benefit when the first person dies
- Commonly used by couples for income replacement
- Higher premiums than second-to-die policies
- Surviving spouse receives the death benefit
- An independent agent can help you evaluate first-to-die vs. separate policies