Joint Life Insurance? Parent/Adult Child?

[AboutThatLife]

Is it possible to have a joint life insurance first-to-die policy on a parent and their child? The parent is much older and at this point their FE wouldn't necessarily satisfy all their goals. The adult child is much younger and in great health, is this possible? I imagine the older parent would be afforded more coverage under this option.

 

[Jerard]

Highly doubtful. Joint life policies are pretty much a thing of the past. You don't even see many spouse/spouse ones anymore, either.

 

[WinoBlues]

Is it possible to have a joint life insurance first-to-die policy on a parent and their child? The parent is much older and at this point their FE wouldn't necessarily satisfy all their goals. The adult child is much younger and in great health, is this possible? I imagine the older parent would be afforded more coverage under this option.

I imagine the rate would be predicated on the oldest and sickest of the two. Doubt you would find anything like that. Don't try to reinvent the wheel.

 

[DHK]

Assurity has a first to die whole life policy (not yet approved in California)... but it's priced for people within about 10 years of each other and decent enough health. Outside of that, generally it's cheaper to have two separate policies.

 

[AboutThatLife]

Thanks guys. I will let my client know it is not possible.

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I imagine the rate would be predicated on the oldest and sickest of the two. Doubt you would find anything like that. Don't try to reinvent the wheel.

I know right? Otherwise everyone would be doing it!

 

[scagnt83]

You should understand that when you say the term "joint life insurance", that usually means a Survivorship Policy. Another term for a Survivorship Policy is a "Second to Die" Policy.

A Survivorship Policy only pays after the 2nd death. It is an Estate Planning tool mostly.

As DHK mentioned, Assurity now has a "First to Die" Joint WL. I really like the product but it is not priced for a child/parent.


BUT, what you can do is add a Child Term Rider to the parents UL or WL policy.
Most decent WL/UL policies offer Riders to cover children. Usually they are covered up to age 20-25 with the Rider. It is usually super cheap to add.

LFG, NA, Guardian, Mass, I think Assurity too... all have Child Term Riders on their permanent products.

Personally, I think it is best to get a standalone policy for the child.