Life insurance proceeds can help protect a beneficiary’s loved ones in the event of their unexpected passing or natural death. Life insurance policies can, however, differ in their characteristics. Some forms of coverage, including survivorship insurance, can offer guaranteed payments for designated heirs. 
Survivorship Insurance Policies in California
When married couples apply for life insurance coverage, their request is typically processed through a joint underwriting system that determines their insurability, rates, and terms of coverage.
Survivorship benefits are a common form of joint life insurance. If survivorship benefits are activated, each spouse is covered simultaneously by a single policy. After both spouses have passed away, the death benefit is passed directly to the couple’s children or other designated beneficiaries.
Deciding if You Might Benefit From Survivorship Coverage
Survivorship coverage is primarily intended for couples who want to ensure that their children and other dependents receive financial compensation in the event of their deaths.
When to Consider Survivorship Insurance
- You cannot afford individual term policies.
- Your spouse has been previously denied a life insurance policy due to poor health.
- Your family wants a cash-value life insurance policy.
While survivorship plans do not provide compensation to surviving spouses, they provide other distinct advantages.
The Advantages of Survivorship Insurance
- Cost. Survivorship plans usually cost significantly less than single-insured life insurance policies.
- Approvability. Insurance companies typically offer better, more flexible rates for survivorship plans, especially if one spouse is in reasonably good health.
- Estate preservation. A survivorship policy could bolster couples’ estate planning aspirations since a policy should provide near-guaranteed compensation for their named beneficiaries.
Contact a California Estate Planning Attorney Today
Survivorship insurance can provide concrete advantages to California families who want life coverage at reasonable rates. However, any life insurance plan should be complemented by a comprehensive estate strategy that protects your loved ones from the uncertainties of the Golden State’s complicated legal process.
Please send the Law Firm of Kavesh, Minor & Otis, Inc. a message online, or call us at 1-800-756-5596 to speak to an attorney, and schedule your free, no-obligation consultation.
