Life insurance for parents?

Question

Hi

I was reading up on the site about life insurance and am very hesitant as to how and if I should pursue this. The only thing I may think of is my dad had an insurance policy on me in early college or so I was told. I would like to get one on them both but they at times suggest it and at others seem offended to say the least. They are in substantial debt and in many ways increased my debt by breaking promises. I am reeling from the debt currently. The thing is Thank God both of them are healthy at 60 & 62; yet I know God forbid anything happens I can't afford funerals or much to begin with. I have been contemplating this on and off for a few years now and more recently more so. I need to know how and if someone is able to purchase life insurance for their parents and it may have to be without their knowledge though on a good day they want to be involved but it waxes and wanes. What is the best way to find an affordable option (premium wise and length of time wise). I would appreciate any advice. Thanks.

Answer 1

First off, you can not get insurance on anyone else without their consent.

Second, talk to them and let them know you want to do it so they can have a proper funeral.  But do it as quickly as possible since their health may go down at a moments notice.

As mentioned above, I would also look into Long Term Care insurance.  It could mean the difference between sharing a bed with 8 other people in a 10x15 room or having a private room.

Above all else, make sure you can afford it.  I would also suggest a policy on your self if you have other dependent on you.  It sounds like that may be the case in the next few years with your parents.

All and all, find a local adviser or analyst to help you with this. They can, and should, help with finding the right amount of insurance and keeping it in your budget as well as helping take care of that debt problem.

Answer 2

OK, first of all, you can't buy life insurance on them without their permission and cooperation.  

But at their age, enough for two policies just to bury them, isn't going to be exactly cheap, even if they are in perfect health.

Their debt is not inheritable.  You will NOT be made responsible for their debt.  

You - with them - will have to fill out some applications to get quotes from local agents.  But it's probably going to be more "cost effective" if you just start putting $100 a month away for their "funeral fund".

And get them listening to Dave Ramsey on the radio.  They can't increase your debt, unless you let them.

Answer 3

First off, you need to look out for number one.  If you can't afford the costs associated with your parents death, you need to be very clear about that with your parents...and be blunt with them...don't be afraid to lay it on the line and ask them if they want a proper funeral or just tossed in the ditch?  You're parents won't be stuck with the bill you will be...make sure other people aren't causing you financial difficulties.

One rising concern in society more so than dying is the need for long term care facilities.  "Congratualtions...you're the new proud parent of a 79 year old man that is completely dependent on you!"  More and more they are going privatized, so if something happens down the road the rooms will go the highest bidder or their families are left to take care of them.  It might be worth while for you to look at a Long Term Care policy on them as well.  Sure everyone loves their parents enough to help them out, but there is not dignity on either end having a son or daughter sponge bath their parents or wipe their butt becasue they can't do it.

Your best bet to find a good policy is to go through a licensed insruance broker.  They will have access to countless companies and can find one that best suits your needs and/or budget.

Also,you can not purchase any kind of insurance on someone without them knowing about it and agreeing to it.  They will need to sign off on it and answer some health questions and whatnot.

And every year you contemplate this, the more expensive it gets...the older they get the more expensive it is, not to mention you never know when health can take a turn for the worse at that age and make them uninsurable all together.

Answer 4

Where are you located? I have a book, that list costs from different states, and I'd be happy to give you somewhat of an idea of what your cost would be.