Which type of policy pays the face amount at the end of the specified period if alive?

• A. Term policy
• B. Endowment policy
• C. Whole life policy
• D. Universal life

Answer: (B)

Endowment policies are built to pay the face amount at the end of the specified period if the insured is alive then. This type combines life protection with a savings feature: you’re guaranteed a payout at a fixed future date if you survive to that date. If death happens during the term, some endowments also provide a death benefit to beneficiaries, but the key point is the maturity payment when alive at the end. In contrast, a term policy pays only if the insured dies within the term, with no maturity payout; a whole life policy pays on death (late or sooner, but not at a fixed future maturity date); and universal life involves flexible premiums and a cash value with the death benefit payable later. So the description matches an endowment policy.