Can I Buy Life Insurance for My Parents?

Yes, you can buy life insurance for your parents, people do it all the time. If your parents want to pay their premiums, you can help them with the process of shopping for whole life insurance and can help them get set up. If your parents can’t make their payments or want to help them remove the financial burden as much as possible, you can take out the whole life insurance policy yourself and pay the monthly premiums.

When taking out life insurance on your parents, however, knowing that you will need to get your aging parents involved is essential. Luckily, you can do a lot of the legwork for them so that all they have to worry about is signing the paperwork. This can help make the entire process much easier for everyone involved and help you ensure that your loved ones end up being covered.

Am I Allowed To Buy Life Insurance for My Parents?

Yes, many adult children take out life insurance for their parents because they have an insurable interest. Unfortunately, you will be financially impacted when your parents pass away. For example, you might be concerned that you aren’t going to have enough money to pay off your parents’ house when it’s left to you after they pass away. Securing life insurance for your parents can help cover this.

Your Parents Want to Leave Something Behind

Your parents could be concerned about not leaving something behind for their children and grandchildren. Even though face value amounts are usually relatively small compared to some of the best life insurance policies for your parents, they can allow your loved ones to leave behind something of a legacy.

You’re Concerned About Other Final Expense Issues:

There are many different types of final expenses that many adult children have to cover. For example, your older parents might have various debts or leave behind many medical bills when they pass away.

These are just some of the reasons adult children buy life insurance for their parents. Of course, you and your parents might have your reasons. Regardless of why you want to purchase life insurance, you should know that there are plenty of plans for those over 60, over 70, and even life insurance for seniors over 80.

How Much Does Life Insurance for My Parents Cost?

These quotes were pulled from our quote engine; they can give you an idea of approximately how much the best life insurance for your parents usually costs.

For a tobacco-free male who is looking for $10,000 in coverage:

• 70 Years Old: $72.68
• 80 Years Old: $132.65

For a tobacco-free male who is shopping for $15,000 in coverage:

• 75 Years Old: $147.69
• 80 Years Old: $197.38

Of course, the amount of coverage, the type of life insurance, and the more you choose will impact you. For example, someone in good health will pay less for a life policy than someone with serious medical issues. The coverage amount will affect pricing, too, although there is no such thing as too much life insurance. You’ll probably want to buy as much coverage as possible when you purchase life insurance while keeping monthly premiums within your family’s budget.

How Do I Apply for a Life Insurance Policy for My Parents?

These are some of the best life insurance companies out there, although there are other great companies out there that also offer coverage. It’s always a good idea to compare your options with these companies and more, whether you’re shopping for term insurance, guaranteed issue life insurance, universal life insurance, permanent life insurance, or any other type of policy:

• Globe Life
• Transamerica
• Royal Neighbors of America
• Aetna
• Cigna
• Mutual of Omaha
• Colonial Penn

Are you ready to purchase life insurance for your parents or loved ones so that you can gain peace of mind about end-of-life expenses? If so, use our website’s search tool or call us for help purchasing life insurance. We want to help you find the right policy and insurance premiums for your or your parent’s health, budget for monthly premiums, and individual situation.

Can I Purchase A Policy Without My Parents Consent? 

You can do all the work of shopping for life insurance for your parents. You can get online on our website to shop for life insurance for elderly parents. You can also sign up as the owner of the policy, and you can be the payer and the beneficiary as well. However, since your older parents will be the insured individuals on their life insurance policy, they will have to sign the paperwork before you can sign them up.

They may have to answer questions about their health, although you can help with this. They may also have to go through a brief telephone interview, but this should be something that they can do from the comfort of their own home, and they should not have to worry about anyone from the life insurance company visiting their home.

Is it Too Late to Purchase Life Insurance for My Parents?

One thing that many people worry about is that it might be impossible for them to find life insurance for their parents. Unfortunately, for some people, this is a legitimate concern. Finding life insurance for parents over 70 can be more challenging than many realize. As a result, many providers that offer coverage prefer to sell it to younger individuals.

Because of this, it is essential not to wait any longer than you have to when buying the best life insurance for parents. Also, for older parents with more severe health issues, there is more of a chance that there will be a waiting period when they finally find life insurance for their elderly parents.

Are There Health Questions?

When shopping for life insurance for elderly parents, you should expect to answer questions about their health. This can be difficult or impossible to avoid. However, it would be best if you didn’t allow this to let you think that you won’t be able to find life insurance for elderly parents. Even though many providers that offer life insurance for the elderly do ask questions about health, they aren’t usually looking for information about minor health issues. A medical exam typically is not required, either.

Where Does the Money Go After My Parents Pass Away?

After you compare options and find the best life insurance rates, you and your loved ones must fill out an application. During the application process, you will be asked to designate a beneficiary. In many cases, people nonprofit one of their adult children as the plan's beneficiary. They may also add a funeral home or nonprofit organization as their beneficiary.

What Can the Money Be Used For?

It is up to the beneficiary listed on the life insurance application as to what the money will be used for. Traditionally, the money from these plans is used to cover final medical bills and funeral expenses first. Then, the rest of the money might be used to cover things like the time the adult children had to take off work to handle the funeral arrangements or any estate taxes or credit card bills that the individual owed. Finally, whatever is left might be given to adult children or grandchildren, or many are donated to a nonprofit organization.

Quick Tips:

• The Company You Choose is Important: When shopping for a life insurance plan for parents over 70, your options might be limited. However, comparing options and application processes between several providers is still best before choosing. Some providers have more robust financial backing than others, some offer more affordable premiums than others, and some do not require a waiting period, while others do. When purchasing a plan, it’s always wise to shop around. Fortunately, you can use our search tool to do so and to make purchasing easier.
• There Might Be a Waiting Period: Some plans will not give the full death benefit if the insured passes away during the first couple of years after buying the plan. Some require a two-year waiting period before any funds will be distributed. Some give a percentage of the death benefit during the first few years. There typically is no financial loss with this type of policy, though, since part of the cash value will normally be paid, or premiums will be returned.
• You’ll Want to Look for a Fixed Policy: Along with comparing rates and looking for an affordable life insurance option before purchasing, you’ll want to look at other things. For example, you’ll probably want to look for a life insurance plan with a fixed premium so that the premiums don’t increase as your loved one age.
• It’s Critical to Look for a Policy That Will Last for Their Entire Lives: Some people “age out” and outlive their plans. Make sure you look for a plan to cover your loved ones for their entire lives; after all, you probably don’t want to talk to an insurance agent about insurance for a 100-year-old person who has outlived their policy. This is a common problem with term policy options that might be limited to a 20-year term, but it can be a problem with types of life insurance other than just term life insurance.

Next Steps

If you are looking for life insurance, you might wonder how to find affordable options. Luckily, we make it easy for you to do so online, and some companies will even allow you to start your application right away. Use our handy online tool to get quotes in seconds.