Specialized Policies

Question 1

Juvenile

Answer 1

Juvenile insurance is any policy written on the life of a minor. A popular type is commonly called “Jumping Juvenile” because it automatically increases the face amount at a given age (usually age 21 to 25) without
evidence of insurability.

A “jumping juvenile” policy will normally increase the face amount of insurance by a factor of five with no change in premium at the next anniversary after the child turns anywhere from age 21 to 25 (depends on the policy).

Question 2

Joint Life (First to Die)

Answer 2

Joint Life is a whole life policy that is written to cover 2 or more lives. The death benefit is paid when the first insured dies. Once payment is made, the policy no longer exists.

Question 3

Joint Survivorship Life (Last to Die)

Answer 3

This whole life policy is written to cover 2 or more lives, and the death benefit is not paid until the last insured dies.

Question 4

Return of Premium Term

Answer 4

This term policy is written for a specified number of years (20-30 years). If the insured is still living at the end of the term, the policy will provide a refund of all the premiums paid into the policy. Typically these policies have a higher premium than level term insurance.