Which Settlement Option pays for a specified period, irrespective of who receives the payments?

The correct answer is the option that refers to a settlement option designed to provide payments for a specific duration, regardless of who is receiving the payments. In a fixed period settlement option, the insurer agrees to pay a certain amount of money at regular intervals for a predetermined number of years. Regardless of whether the beneficiary is alive or deceased, the payments continue until the end of the established timeframe.

This option is particularly beneficial in scenarios where the policyholder wants to ensure that funds are disbursed over a specific time frame, which may assist beneficiaries in managing financial obligations or planning for future expenses. The key feature of this option is its focus on the schedule of payments rather than the life of the individual receiving them. Thus, the insured's longevity or the beneficiary's life does not influence the scheduled duration of the payments.

In summary, the fixed period option gives certainty about the payment duration while supporting sound financial management, making it a suitable choice for those who wish to allocate a steady stream of income over time.