If an insured chooses joint and 2/3 survivor as the settlement option, what does this mean for the beneficiaries?

Choosing the joint and 2/3 survivor settlement option means that when one of the beneficiaries passes away, the surviving beneficiary will receive a percentage of the original total benefit rather than the full amount. Specifically, in this case, the survivor will continue to receive two-thirds of the benefit amount that was being paid out while both beneficiaries were alive.

This option typically reflects a desire to provide ongoing financial support to the surviving beneficiary while still acknowledging that the deceased beneficiary contributed to the total amount. The arrangement ensures that the surviving beneficiary remains supported, although not to the full extent that both beneficiaries would have received.

In contrast, the other options suggest different conditions for benefit distribution that do not align with the specifics of the joint and 2/3 survivor arrangement. These alternatives would not accurately represent how the survivor's benefit would function according to the chosen settlement option.