What type of event typically triggers a life insurance payout?

A life insurance payout is typically triggered by the death of the insured individual. This is the fundamental premise of life insurance, as it is designed to provide financial protection to beneficiaries in the event of the policyholder’s death. The payout, often referred to as the death benefit, is meant to help cover expenses such as funeral costs, debts, and other financial responsibilities the deceased may leave behind, ensuring their loved ones are taken care of during a difficult time.

In contrast, while injury, retirement, and loss of job can lead to various insurance claims or benefits in other contexts, they do not trigger life insurance payouts. Injury may be covered under health or disability insurance, retirement may involve pension plans or retirement savings accounts, and loss of job typically relates to unemployment benefits rather than life insurance. Therefore, death is the definitive event that activates the life insurance claim process, making it the correct answer.