How does an insurance policy work when a parent dies and siblings are involved?

Question

I know there is a main beneficiary, but why do the other siblings all have to sign off on the paperwork when it comes to the funeral arrangements and such?

Answer 1

it means all the siblings agree to it.

Answer 2

It protects the funeral home of later problems that may arise and it als oso that everyone involved has agreed to certain requirments.

Answer 3

The funeral home is covering their own a** that SOMEone in the family will pay for the funeral....

The more signatures they get, the more responsible parties they've found incase the life insurance does not pay

Answer 4

to make sure all parties who are involved is agreeing to such procedures.

Answer 5

Funeral arrangements have nothing to do with life insurance.

Answer 6

I think this may inadvertently be asking two questions because the funeral home agreement is different from the insurance policy.  When someone dies, someone has to serve as the executor of the estate to see debts are paid, etc.  Usually a family agrees on who will do this but if there is some disagreement, then someone will get a lawyer involved and the court then decides who will be the executor (if the person did not have a will or did not name an executor in their will).  Covering funeral arrangements out of the policy proceeds is usually a no-brainer as that is usually the primary purpose of life insurance policies.

As for the funeral home part of the question, I think an earlier answer hit that one:  they will get as many to sign as possible in the hopes that (A) they can avoid a fight that the expenses will be paid out of the policy and (B) if there is a fight later on, at least they can show you agreed at some point.

Answer 7

There is not necessarily a MAIN beneficiary.  The proceeds of the policy may be equally divided among all the siblings. It depends on how the beneficiaries were designated to begin with.  

The signing for funeral arrangements, etc. has nothing to do with the insurance policy.  The funeral parlor,etc. just wants to make sure that as many people as possible may be responsible to pay the bills.  You should discuss that responsiblility with your siblings before signing off on anything.