Many parents purchase life insurance policies for themselves and their children when they’re born. But what if you decide to get a policy for an adult child? There are a few important things to consider before purchasing life insurance for someone over the legal age.
Consent Required
To purchase a life insurance policy for an adult child, you must have their consent. Most insurance companies require verification, such as speaking directly with the person or obtaining a notarized statement.
In some cases, companies may waive this requirement for children with special needs. However, this varies by provider. It’s essential to speak with a representative at Insurance Solutions LLC to understand how your policy in Omaha, NE, works.
Financial Loss
Parents or former guardians must demonstrate an insurable interest in the adult child. This means proving that you would experience financial loss if the person were to pass away. For example, you might face financial hardship due to missed work while grieving. Some parents justify their insurable interest by explaining that they were planning to become financially dependent on their children in the future.
You can also highlight financial obligations, such as loans or other expenses taken out for your child, which establish an insurable interest. Funeral costs and supporting grandchildren may also be considered financial hardships resulting from the death.
It’s crucial to consult with a professional to determine whether your circumstances allow you to purchase a life insurance policy for your adult child. Compassionate representatives at Insurance Solutions LLC can help you understand the criteria. Contact us today to learn more. We proudly serve the Omaha, NE, area.
