Yes you can get life insurance for your parents. You will need their permission to insure them, but since you would have insurable interest you can take out and own a policy.
Note: In Canada, when you transfer ownership there is usually a deemed disposition. In other words a taxable gain is triggered. This does not apply in certain family situations. Which creates a planning opportunity for generational wealth transfer.
If you have further questions, or feel that I could be of assistance, please do not hesitate to contact me.
If you would like to work with a local life insurance broker, you could start with a Google search. For example, if you search for: life insurance broker Halifax or life insurance agent Halifax, my name, along with several others, will come up. You can use the same method to find a life insurance broker in your community.
You can get a small amount of life insurance for your parents for final expense needs. If you want a larger amount, you would need to show that you share a financial relationship with them, and would suffer financially from their deaths. E.g. If you live with them or they live with you.
Yes, but it depends on the circumstances as to why you would need to purchase life insurance on your parents. If you would be financially responsible to pay for their final expenses at their deaths, certainly yes. You would be able to purchase enough life insurance to cover those expenses with their knowledge and permission. If you are financially dependent upon their income then yes you could purchase a policy with their knowledge and permission. If the reason is just pure financial gain then no you would not be able to purchase life insurance with or without their permission.
President, Lane Independent Agency, Southern California
Two parts to the yes on this questions. First is you need to let them know you are going to do that and get their permission. Second is, apart from final funeral expense coverage, you would have to show an insurable interest, meaning some financial dependence upon them. If, for example, they are paying you each month, or lending you money, that would be an insurable interest. If you have no relationship with them, then you could not get a policy on them, but they could get a policy on themselves to benefit you. This would, of course, in any event, depend upon their own insurability, meaning mostly their own health. Thank you. GARY LANE.
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Note: In Canada, when you transfer ownership there is usually a deemed disposition. In other words a taxable gain is triggered. This does not apply in certain family situations. Which creates a planning opportunity for generational wealth transfer.
If you have further questions, or feel that I could be of assistance, please do not hesitate to contact me.
If you would like to work with a local life insurance broker, you could start with a Google search. For example, if you search for: life insurance broker Halifax or life insurance agent Halifax, my name, along with several others, will come up. You can use the same method to find a life insurance broker in your community.