What happens if both insured persons on a joint term life policy die?
In short
What happens? A joint term life policy (verbundene Risikolebensversicherung) pays the sum only once, even if both insured persons die at the same time; then the policy ends. Who gets the money depends on the beneficiary: if the named partner is also dead, section 160 (3) VVG gives the claim to the policyholder and so to their estate. Two crosswise policies, by contrast, both pay.
Monthly premiums from published examples and tests, healthy non-smokers in Germany.
Example
Typical range
Age 35, EUR 250,000, 30 years, per person
about EUR 20 to 60 a month
Couple, both 35, two crosswise policies of EUR 250,000 each
about EUR 40 to 120 a month together
Joint policy instead of two single policies
about 10 to 20 percent lower premium
Certificate of inheritance, estate of EUR 250,000, with sworn statement
around EUR 1,070
As of October 2026.
The joint policy saving is a guide value from quoting practice;
the certificate fee comes from the German court and notary fees act.
Worked example
Couple with two children, motorway accident
Both partners die in the same accident. It cannot be established who died first.
Joint policy of EUR 250,000
EUR 250,000 once
Two crosswise policies of EUR 250,000 each
EUR 250,000 twice
Children only via the estate
certificate of inheritance needed, money liable for debts
Children named as further beneficiaries
direct payment to the children
With two crosswise policies and the children as further beneficiaries, the children receive EUR 500,000 directly. With a joint policy and no further entry it is EUR 250,000 via the estate.
Joint policy: one sum, once
In a joint term life policy both partners are insured under one contract. When one of them dies, the full sum is paid once and the contract ends. If the second partner dies later, this policy pays nothing more.
If both insured persons die at the same time, for example in an accident, the insurer also pays only once. That is the price for the joint policy being somewhat cheaper than two single policies.
Policy type
Both die at once
One after the other
Joint policy
one sum
one sum on the first death
Two crosswise policies
two sums
two sums while both run
Two own-life policies
two sums
two sums
Who gets the money if the partner is also dead
Partners usually name each other as beneficiary (Bezugsberechtigter). A revocable beneficiary only acquires the right to the benefit when the insured event occurs, section 159 (2) VVG. If they are already dead by then, they cannot acquire it.
If it cannot be proven which of the two died first, the law presumes they died at the same time, section 11 of the German Missing Persons Act (Verschollenheitsgesetz). If the beneficiary does not acquire the right, section 160 (3) VVG gives it to the policyholder. If the policyholder has died too, the sum goes into their estate and to their heirs, often the children.
What this means for the children
If the sum goes into the estate, the heirs usually need a certificate of inheritance (Erbschein), and the money is liable for the debts of the deceased. For an estate of EUR 250,000 the certificate with sworn statement costs around EUR 1,070. If the children are minors, their legal representative manages the money.
It is better to name the children straight away as further beneficiaries, ranking after the partner. The sum then goes directly to them without passing through the estate. The change is a short notice in text form to the insurer.
Two crosswise policies
With crosswise policies, each partner insures the other's life and is the policyholder. If both die at the same time, both policies pay. As the policyholders are dead too, both sums go into the respective estates unless further beneficiaries are named. With two sums instead of one, the children are much better provided for than with a joint policy.
One after the other: the survivor is left without cover
More common than both dying together is that one partner dies first. With a joint policy the contract then ends and the surviving partner has no cover left. They need a new policy, older and perhaps with health conditions. Couples with children should consider this before signing.
When it hardly matters
If you have no children and nobody else who would live on the sum, both partners dying together is hardly a financial issue. A joint policy for a shared loan is then enough, because the bank gets its money either way.
Step by step
Check in the policy document whether the policy is joint or single.
Check who is named as beneficiary.
Name the children as further beneficiaries ranking after the partner.
Send the change to the insurer in text form and wait for confirmation.
With children at home, consider two policies instead of one joint policy.
Checklist
Policy type known
Beneficiary up to date
Children named as further beneficiaries
Will or guardianship wishes for the children considered
Common mistakes
Believing a joint policy pays twice if both die together
Naming only the partner and forgetting the children
Not updating the beneficiary after separation or the birth of a child
Telling the insurer about a beneficiary change only by phone
Questions and answers
Frequently asked
Does a joint policy pay twice if both die?
No.
It pays once, even if both insured persons die at the same time.
Who gets the money if the beneficiary is also dead?
Under section 160 (3) VVG the policyholder.
If they are dead too, the sum goes into their estate.
What does dying at the same time mean legally?
If it cannot be proven who survived whom, the law presumes both died at the same time.
Can I name the children as back-up beneficiaries?
Yes.
You can name several beneficiaries in an order of priority.
