can you take out a life insurance policy on a family member?

If your father is in ailing health purchasing a life insurance policy at this stage will be prohibitively expensive if it is even possible. And the option of a Guaranteed Issue Policy may not work since it will then only end up paying if he lives longer than 2 years -- they will refund the premium if he does prior but the main point is that this type of policy will not accomplish the goal that you want which is to make sure that at the very least his final affairs are settled. However, you can still get a small policy and hope that he outlives the 2 year requirement. You can contact AARP's insurance program for assistance with that. The website is http://www.aarp.org/benefits-discounts/ He would have to sign for and agree to purchase the policy. As long as he agrees, you can become the payee and the owner of the policy.

I have a couple of suggestions -- since you state that your father currently has a policy:

1) If he has a Universal Life Policy -- have it changed to Option B since this will serve to increase the face value of the policy. He would need to contact his agent to do this.

2) If he has a Whole Life Policy -- ask for the dividends to be used to fund additional paid up insurance. He would also have to do this through his agent.

3) Also consider going to a local funeral home and purchasing a prepaid burial plan -- this will allow your family to use the life insurance for other needs and end up saving on the cost of the funeral. Do some research though before you go this route since there are several pitfalls that you want to be on the look out for since some funeral homes have scammed consumers.

4) Another option is to preplan the funeral since it will allow you to save money and set up your own funding mechanism for the cost in the form of an annuity.

You might to also help your father review the beneficiaries he has listed on his current policy, double check if he has any other policies (such as group term or something else) or benefits elsewhere & what beneficiaries are listed there. Make sure that his will is up to date.

I hope this information helps and wish you and your family good luck

You can take out a policy on a family member as long as the person to be insured is willing to sign the application and is in sufficient health to pass an exam. In this case, insurable interest is not an issue. I can't tell the status of your father's health from your question but, in the event he is declined due to health, there are some companies that issue Guaranteed Issue policies. These policies are usually issued for amounts less than $50,000, many less than $25,000, and the premium is elevated to account for the risk. Furthermore, they only will pay the return of premiums plus some interest if death occurs within the first 2-3 years.

In many instances today, adult children are taking out life insurance policies on their parents to help perpetuate and transfer family wealth, income tax free, and to pass on a guaranteed legacy from the parents. Your situation is more "bread and butter" but you are to be commended for the thought.

Good luck!

You'd need his permission and cooperation to do this.

Sure, you can buy the policy - if you can afford it. If money is no object.

But if he's already ill, you're not likely go buy a policy for much less than it will pay out.

If you can't afford that, you can always let mother sell her home and move in with you.

For free insurance quotes

lifeinsurance.awardspace.info - try this one. I have their insurance and, as remember, they can provide such a service.

You have no "recourse" without his permission.

Try https://tr.im/F3WoG

Yes you can... found it here: http://hubpages.com/hub/LifeInsuranceBenefits

if he is chronically "ailing" or has a terminal disease - he may be UNINSURABLE