Insurance Library notes that the two most common instances that allow an adult child to obtain a life insurance policy for a parent are when the adult child is positioned to suffer financially when the parent dies and when the child provides financial support to the parent. An adult child can purchase a life insurance policy for a parent without meeting these qualifications if the parent owns the policy.Continue Reading
HealthandAutoInsurance notes that for an adult child to own a parent's life insurance policy, the child must be able to prove insurable interest to the insurance company. This means that the child has to be able to show how the parent's death is set to negatively affect the child's finances. The reason for this is that the insurance company is unwilling to insure something that does not result in a negative financial impact when it's gone. The parent must also be a part of the underwriting process regardless of who is purchasing the policy.
According to Insurance Library, the benefit amount for a parent-owned life insurance policy depends on age, net-worth and income, regardless of who pays the premium. The parent must be able to sign the life insurance application documents to show agreement to the policy.Learn more about Insurance
A paid-up whole life insurance policy can be surrendered by terminating the policy upon which the policyholder receives the cash surrender value, according to Investopedia. The cash surrender value is the amount of money the insurance company pays to the policyholder when the policy is terminated before its maturity.Full Answer >
To purchase a life insurance policy through Allianz, visit the Allianz life insurance website and call the number or fill out the Contact Us form and mark the option Like to Purchase Allianz Products. Allianz Life Insurance Company of North America's policies are not insured by the FDIC or any other federal government agency, according to Allianzlife.com.Full Answer >
A 20-payment whole life insurance policy is a type of limited payment whole life insurance where premiums are paid over a shorter period of time, according to the New York State Department of Financial Services. Under this plan, a person pays premiums for 20 years and is insured for life.Full Answer >
Insurance companies use an actuarial table for life insurance to set policy rates, states Schuerman Insurance. Often called a life table or life insurance mortality table, it uses a person's age to calculate the remaining length of the person's life, assuming the person reaches the typical life expectancy age.Full Answer >