I wrote a 52FT who had no life insurance because she can't afford it so her brother agreed to pay the premium if I named him as owner. MOO said no and declined. He will not pay it unless he has control and I don't blame him. Is there any company who would issue?
Ownership
- Thread starter billyb
- Start date
- 3,996
Don’t forsee an issue with AmAm
- 25,063
Was it Living Promises or one of the Express plans?
In the underwriting guide for the Express plans they list acceptable relationships.
Many companies will allow a brother to own the policy. I owned policies on my mother and brother. Fraternal companies also have different rules it seems.
tribetime32
Guru
- 377
Many companies allow this, you just have to look at the agent guides of your preferred carrier and go from there. Good luck!
- 5,804
Write him as the payor... then once the policy is issued, have the insured pass ownership to her bother... that should work just fine, I have done it in the past to get around the initial underwriting phase.
Hope that helps.
- 4,618
Wowza, most carriers height charts stop around 7ft. Not sure you will find any carriers for someone 52 feet tall
- 25,063
Write him as the payor... then once the policy is issued, have the insured pass ownership to her bother... that should work just fine, I have done it in the past to get around the initial underwriting phase.
Hope that helps.
That works many times just not every time. Some companies may restrict who can be owner or if anyone other than the insured (AIG GI) can be owner. Especially on an adult.
All IMohsoHO
- 4,618
Will they allow the payor to be an irrevocable bene and the insured can still be owner
- 25,063
Maybe. I do seem to remember Foresters not allowing us to do that with a funeral home. However, I am a frail old man and may not recall correctly.
One issue with that set up is if the insured needs someone else to buy their life insurance what would stop them from cashing or borrowing it out? Another may come into play in community property states were the spouse has to sign off on some changes.
Good idea though.
- 4,053
I suspect that’s the reason he’ll only do it if he’s the owner. A few years ago, my client was going through a rough patch, so her daughter offered to take over paying for her life insurance. We got it set up to draft the daughter’s account, and everything was hunky-dory for several months. Then one day, mom called the home office and took out a max loan. I was angry with the company for not telling me she’d requested a loan form. I didn’t find out until she’d already cashed the check! The daughter was angry with me, the company, and her mom. What do you suppose happened to that policy?
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