Which term refers to the insurance policy that promises payout after the insured reaches a certain age?

The term that refers to an insurance policy promising a payout after the insured reaches a certain age is known as an endowment. An endowment policy combines life insurance with a savings component, providing a sum of money either upon the death of the insured or when the policy matures, which typically happens when the insured reaches a specified age. This maturity age is set at the time the policy is created and is one of the defining characteristics of endowment policies.

In contrast, a pure endowment specifically guarantees a payout only if the insured survives to the end of the policy term, without any life insurance benefit before that time. Adjustable life insurance offers flexibility in adjusting premiums and benefits but does not inherently guarantee a payout based on age. Modified whole life insurance varies in premium payments during the initial years but does not feature a specific age-based payout structure. Thus, the characteristics of an endowment policy align closely with the described function of offering a payout upon reaching a specified age.