As our parents age and reach their golden years, life begins to make further changes as well. In most families when the parents have reached retirement age and are living comfortably, the responsibilities shift to the children who are now adults. It is during this time when considerations of life insurance for parents take place.
While this is not an easy conversation to have, the reality of the situation is that no parent wants their child to be burdened with their funeral expenses. This is especially true if the family is in a tight financial situation where an unexpected passing could really be doing harm to the family finances.
Do Parents Actually Need a Life Coverage Policy?
It is an important question about whether burial insurance for seniors over 80 is really necessary. The answer will depend on a number of factors which include any other types of coverage or provisions that have been put in place.
If your parents already have pre-paid funeral coverage or have more than enough assets set aside to pay for burial expenses, then you probably do not need a life coverage policy. However, many seniors over 80 do not have such coverage in place and most families will need some form of financial assistance in order to cover the expenses.
Can I Buy Coverage for My Parents?
The answer is yes, if you follow the appropriate rules and regulations that have been put in place for this type of life insurance policy. Direct relatives which include parents can be covered by a life insurance policy that provides for funeral expenses much in the same way that children can be covered if something unfortunate should happen to them.
Naturally, your parents will need to be informed and approve the policy which is why you should work together with them on the funeral insurance. You will want to know their wishes so that they can be fulfilled by the policy. Once everyone is in agreement, you can get the right type of policy that best fits their needs and your pocketbook as well.
Requirements for Parental Life Insurance:
If you are looking to get term life insurance for elderly parents over 80, you will need to follow a few requirements so that you can ensure that the policy is sound and legal. The first and most important is that you need your parents’ approval which must be written in the policy itself.
Once you have that requirement, then the next step is the level of coverage and any health exams or medical questions that your parents need to answer in order to be approved for the level of coverage provided. Generally speaking, if your parents are in good health and the coverage is for funeral expenses only, then approval by the insurance company is usually quick.
However, if the one being covered is in poor health or has outstanding medical issues, then there might be conditions placed on the coverage or it may become difficult to get full approval from the insurance company.
For those who are looking at getting life insurance coverage for their parents, discussing the issue with them and finding the right insurance company is paramount to getting the type of coverage that you want and can afford.