What type of payment option allows recipients to receive money during a fixed period?

The correct choice is the option that refers to a payout method specifically designed to provide recipients with payments for a defined time frame. In this scenario, a "Period Certain" payment option means that beneficiaries or the policyholder will receive regular payments for a specific duration, regardless of whether the insured individual is still alive or not during that period.

This concept is significant because it ensures that participants know exactly how long they will receive benefits, offering a level of financial security and predictability. For instance, if a policy has a period certain payout for 10 years, the recipients will receive consistent payments throughout that decade, offering them a reliable income source during that time frame.

Other options might involve varying conditions: "Interest Only" may provide only the interest earned on a lump sum; "Fixed-Amount Installment" tends to focus on a set amount paid over time, potentially not tied to a specific timeframe; and "Life Income" typically means payments continue for the lifetime of the individual without a fixed end date. However, "Period Certain" is distinct because it assures payments for a clear, fixed length, making it essential for managing financial planning according to a timeline.