If you depend on your sibling for financial support or they simply want to leave something behind, getting life insurance can be a great solution. The question is do insurance companies allow you to take a policy out on your brother or sister. The answer is yes, as long as they consent to it. You probably are wondering if it’s even worth it but just know this, life insurance is always worth it. Here are some highlighs from the article;
- The answer you have been waiting for is yes. You can take out life insurance on any family member.
- Well in order for you take out a life insurance policy on a family member you need to prove that you have “insurable interest” with that family member.
- Having insurable interest means that if that family member were to pass away, you know that you and your family would be financially responsible for all the costs that come with their death.
- The first thing you will need to do is receive their consent. It’s almost impossible to take out a life insurance policy for someone who doesn’t give you their consent.
- They will also have to undergo a medical exam unless you decide to buy them a no medical exam policy.
Can I get life insurance for my brother or sister?
The answer you have been waiting for is Yes. You can secure a policy on any family member. You probably have your life together reading this and you realized that your brother or sister are not in the same boat.
Reasons why someone takes out a life insurance policy on family members
- You are considering taking out life insurance on a family member because they cannot afford taking out a policy for themselves.
- You are considering taking out life insurance on a family member because you know that when they pass away, you and your family would be left to deal with having to pay for burial costs and all that comes along with them passing away.
- You are considering taking out life insurance on a family member because that family member doesn’t think getting life insurance is important.
- You are considering taking out life insurance on a family member because that family member doesn’t like doctors.
- You are considering taking out life insurance on a family member because that family member because they don’t like to talk about death or the day they will pass away. They are probably in a stage of denial that death wouldn’t occur to them or just pass the conversation over and choose not to talk about it.
- You are considering taking out life insurance on a family member because that family member simply have never been able to trust insurance companies.
- Or maybe you are considering taking out life insurance on a family member because they are in a state where they can no longer take care of themselves and make the conscious decision of getting life insurance.
How will I be able to get a life insurance policy on a family member such as brother or sister?
Recently, you have come to the conclusion that you want to buy a life insurance policy for a family member but how can you do that? Won’t they have to take a medical exam? Well in order for you take out a life insurance policy on a family member you need to prove that you have “insurable interest” with that family member.
What does it mean to have “insurable interest?”
Having insurable interest means that if that family member were to pass away, you know that you and your family would be financially responsible for all the costs that come with their death. You can only have insurable interest with someone who is close to you. For example, you cannot take out a life insurance policy for that cute waitress at TGIFridays because she knows how you like your steak cooked. If she were to die, the costs that would follow her death would not affect you in any way whatsoever.
So, how can I take out a life insurance policy for my family member?
This is the key question but like we said before, you can only take out a life insurance policy on them if you can prove you have insurable interest with them. The first step is to make sure that they are aware of you wanting to get a policy on them and getting their approval. In most cases, a medical exam is required so the consent is there when they complete the examination.Even with a no medical exam policy you will need their signature. However, the only time you don’t need a consent is if you, as a parent, take out a life insurance policy on your child.
If I take out a life insurance policy on a family member will I have to pay their premiums?
The answer depends on you and your family member. If you want to pay their premiums because you believe they will not pay them then it really is your decision. However, some insurance companies may require the insured to pay the first premium but after they can switch the option for you to be able to pay their premiums.
Is it even worth it?
Life insurance is always worth it for everyone because it can cover funeral costs and everything involved when someone passes away. Keep in mind that funerals and everything that comes along with that can cost thousands of dollars. If you have money sitting in the bank to pay estate taxes, and funeral costs of a family member then, by all means, don’t buy a life insurance policy. However, it will save you money in the long run and you and your family will be put at ease.
Work with us!
If you have 30 seconds to waste, go to our quoter on the bottom of this page and put in all the information necessary to see some quotes so you can have an idea of what you will be working with. We are an independent life insurance agency who works with over 60 top rated companies. Let us do all the comparing and shopping for you so that you can spend more time with the ones who really matter, your family.
