Does Life Insurance Cover Both Spouses? 
There are a couple life insurance policies that `` cover '' both spouses . One is called a `` First to die '' policy where both spouses are insured until one of them dies . Then the surviving spouse becomes the beneficiary and the policy is terminate . IN a `` Last to die '' policy again both spouses are insured and the policy does not pay a benefit until the last of the two spouses die . Then typically the beneficiary is the estate and the policy is designed to pay the estate tax . Or the beneficiaries could be the children or anyone else . But those are the types of policies that cover both spouses in one policy . 