Second-to-Die Insurance

A type of life insurance on two people (usually married) that provides benefits to the heirs only after the last surviving spouse dies. This differs from regular life insurance in that the surviving partner doesn't receive any benefits after their spouse dies. Thus, second-to-die insurance is used for estate planning.

Investopedia Says:
Parents who take out this type of insurance are thinking of their children, not themselves. For example, it could be designed to pay estate taxes or support any surviving children. It is also called "Dual-Life Insurance" and "Survivorship Insurance".

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Insurance policy that pays a death benefit upon the death of the spouse who dies last. Such insurance typically is purchased by a couple wanting to pass a large estate on to their heirs. When the first spouse dies, the couple's assets are passed tax-free to the second spouse under the Marital Deduction . When the second spouse dies, the remaining estate could be subject to large estate taxes. The proceeds from the second-to-die insurance are designed to pay the estate taxes, leaving the remaining estate for the heirs. Such insurance is appropriate only for those facing large estate tax liabilities. Because the policy is based on the joint life expectancy of both husband and wife, premiums typically cost less than those on traditional cash value policies on both lives insured separately. Also called survivorship life insurance.

Coverage on more than one person that pays a benefit after all of the insureds die. This type of joint life policy is significantly cheaper than a regular policy. Survivorship life insurance might be used to help fund estate taxes after the deaths of a husband and wife or as a form of business continuation insurance. See also Tontine.