Joint Universal Life Insurance is a universal life insurance policy that covers two people. It can be a "first to die" or "second to die" policy. If a first to die UL, the policy will pay the death benefit to the survivor when the first of the two persons passes away. If a second to die UL, the policy will pay the death benefit to a third party when both of the insured persons have passed. This latter type of joint coverage is also called survivorship life insurance.
Some reasons people may purchase joint universal insurance are:
1) They want to consolidate the number of policies they have.
2) One of the insured persons may be uninsurable under a regular policy, but can be covered by a second to die policy.
3) Only the survivor needs the coverage...after the second person passes away there is no need for life insurance...thus a first to die policy works well for them.
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Some reasons people may purchase joint universal insurance are:
1) They want to consolidate the number of policies they have.
2) One of the insured persons may be uninsurable under a regular policy, but can be covered by a second to die policy.
3) Only the survivor needs the coverage...after the second person passes away there is no need for life insurance...thus a first to die policy works well for them.