Question Regarding Life Insurance
I have been living with my father for the past year and a half in order to care for him and his house. He currently has a life insurance policy that he is paying way too much for and I'm considering purchasing an additional term life policy on him. My thought process is to eventually get rid of the other policy, but he is being very resistant to that idea at this time.
I really would like to purchase this policy without his knowledge. As bad as that may sound, my primary reason for wanting to do this is that he tends to talk to everyone in the family and doesn't understand that concept of privacy. Basically, I don't want everyone in the family knowing my/our business.
I have a durable power of attorney, so basically I'm wondering whether I can do this without his knowledge. I'm obviously planning to pay the premiums myself.
Thanks,
Barry
Question Regarding Life Insurance
I have been living with my father for the past year and a half in order to care for him and his house. He currently has a life insurance policy that he is paying way too much for and I'm considering purchasing an additional term life policy on him. My thought process is to eventually get rid of the other policy, but he is being very resistant to that idea at this time.
I really would like to purchase this policy without his knowledge. As bad as that may sound, my primary reason for wanting to do this is that he tends to talk to everyone in the family and doesn't understand that concept of privacy. Basically, I don't want everyone in the family knowing my/our business.
I have a durable power of attorney, so basically I'm wondering whether I can do this without his knowledge. I'm obviously planning to pay the premiums myself.
Thanks,
Barry
Check your state laws on the Durable Power of Attorney. In some states that is the same as having the health directive POA and, in that case, you might be able to do that. I would check with an attorney to be on the safe side, especially if you are the beneficiary of that insurance.
Check your state laws on the Durable Power of Attorney. In some states that is the same as having the health directive POA and, in that case, you might be able to do that. I would check with an attorney to be on the safe side, especially if you are the beneficiary of that insurance.
There are laws in every state that prohibit anyone from buying life insurance without the insured's knowledge. That could make an excellent murder motive, and actually has, but not in many years. If his premiums on his current plan are too expensive, talk to a Financial Advisor, or an insurance agent (not on the internet). It won't cost you anything to talk to them, so try a few until you find one you are comfortable with. There are many ways you can reduce the premium, such as, reducing the face amount, replacing all, or just a portion of the current plan. Depending on the size of your father's estate, you could also set up a trust, the contents of which are confidential, and put the plan inside the trust. That way, only the trustee would be able to make any changes. I believe that if you can save your father some money, that is something he should know - in spite of what other family members may say, or think.
There are laws in every state that prohibit anyone from buying life insurance without the insured's knowledge. That could make an excellent murder motive, and actually has, but not in many years. If his premiums on his current plan are too expensive, talk to a Financial Advisor, or an insurance agent (not on the internet). It won't cost you anything to talk to them, so try a few until you find one you are comfortable with. There are many ways you can reduce the premium, such as, reducing the face amount, replacing all, or just a portion of the current plan. Depending on the size of your father's estate, you could also set up a trust, the contents of which are confidential, and put the plan inside the trust. That way, only the trustee would be able to make any changes. I believe that if you can save your father some money, that is something he should know - in spite of what other family members may say, or think.
If your father's health is so bad that he has to have you live with him to provide care, no insurance company may want to give him a new policy. Do please speak to an advisor or insurance agent.
If your father's health is so bad that he has to have you live with him to provide care, no insurance company may want to give him a new policy. Do please speak to an advisor or insurance agent.
I am a financial planner. This is for general information and not constituted as advise or a solicitation. You should consult a licensed professional in your state. 1. It is possible your dad is not insurable. Not all ailments that require someone to have care will be something that will increase the risk of death so there may be a chance of insurability depending on his illness. 2. No matter how you do it "HE" must answer medical questions. No way to slip by this one. 3. There must be an insurable interest. The company will want to know why the amount of coverage is needed. If you want to have 100K on a 68 year old who has no dependents, low or no debt then it looks like you are trying to insure above any financial loss one might occur. There must be a good reason the beneficiary is suppose to receive the money.
I am a financial planner. This is for general information and not constituted as advise or a solicitation. You should consult a licensed professional in your state. 1. It is possible your dad is not insurable. Not all ailments that require someone to have care will be something that will increase the risk of death so there may be a chance of insurability depending on his illness. 2. No matter how you do it "HE" must answer medical questions. No way to slip by this one. 3. There must be an insurable interest. The company will want to know why the amount of coverage is needed. If you want to have 100K on a 68 year old who has no dependents, low or no debt then it looks like you are trying to insure above any financial loss one might occur. There must be a good reason the beneficiary is suppose to receive the money.