How much will the insurance company pay the beneficiary if K dies from an automobile accident on a $20,000 20-Year Endowment policy after paying for 10 years?

In the case of a $20,000 20-Year Endowment policy, the insurance company has a contractual obligation to pay the designated death benefit amount to the beneficiary if the insured individual, K, passes away during the policy's term. The endowment policy is designed to provide a lump sum payment either upon the death of the insured within the term or upon reaching the end of the term while still alive.

Since K has died due to an automobile accident within the 20-year period, the insurance company will pay the full death benefit amount specified in the policy, which is $20,000. The fact that K has paid premiums for 10 years does not alter the amount of the death benefit; the premiums contribute towards maintaining the policy but do not affect the benefit amount upon death.

This means that the key point to remember is that the beneficiary receives the total death benefit as outlined in the policy, irrespective of how long the insured held the policy prior to their death. Therefore, the payment to the beneficiary in this scenario will be $20,000.