Article

Parenting your Parents: Life Insurance for Parents

Posted on: 14th Jun 2019

Your parents (whether both biologically related to you or not) play a pivotal role in your existence. They each have one life and what happens typically is that they devote that life to a lot of things but mostly to you and your siblings (if you’re not an only child). From the time you were conceived to your formative years and till you eventually came of age, they’ve been there for you with their blood, sweat, and tears.

Life is a cycle and as we have seen over and over again when time passes, the parents become the parented. What does this mean? This simply refers to the fact that as your parents grow older, you become the one who parents them to a significant extent.

A significant part of parenting them is planning for their exit out of this world. Now, we know that no one likes to think of losing their parents. The mere thought of it is quite uncomfortable, to say the least. But it is quite simply, an inevitable thing. As your parents grow older, the less independent they become. Therefore, it is your job to make their final plans for them. One of the main things to consider is the cost of their funeral and other final arrangements and one of the best ways to offset such bills is to take out life insurance for your parents. Also, it’s important to note that there’s a prevalent myth that life insurance is unnecessary for people over the age of 80. This couldn’t be further from the truth. https://over80lifeinsurance.com/ offers resources and advice on why it’s essential for seniors to secure this kind of financial protection, taking into account health, family, and legacy matters. Seeing as both parents are most likely to pass at separate times, it may be wise to plan for them individually.

 

Factors that Influence Life Insurance for Parents.

There are certain factors that insurance companies take into consideration when reviewing applications for life insurance on behalf of the parents of an individual. Some of them include;

 

  1. Age; the age of your parents greatly influences the kind of life insurance policy agreement you’re able to acquire for your folks. If they’re octogenarians, the premium on such a policy may be slightly more expensive than that of a couple of parents who are in their sixties.

 

  1. Medical Status; your parents at their respective old ages are typically prone to a number of illnesses and diseases. Ailments such as heart/liver/kidney diseases, high blood pressure, diabetes, stroke, etc are also factors that can greatly affect premiums and the policy as a whole.

 

  1. Insurable Interest; this simply means being able to prove that you would incur a financial loss in the event of the death of one or both parents. When applying for life insurance for your parents, you can place yourself as the beneficiary and this is also why you would need to convince the insurance company of insurable interest.

 

In conclusion, the type of life insurance policy also matters. Whereas you can subscribe to either term life or permanent life insurance, you can also choose the “Money Appreciation Plan” courtesy; African Alliance. While term life is preferable if your parents a very advanced in age, permanent life is for parents who are relatively much younger in age (although this is more expensive).

Nonetheless, African Alliance would like you to take note of the “Money Appreciation Plan”. If the goal is to ensure that you’re covered as it concerns the expenses that will be incurred when making final arrangements for your parents, you might as well log unto a plan that gives you both insurance and investment benefits. The Money Appreciation Plan allows for a 30% payout and its better than your typical savings plan because the 30% of your guaranteed sum can be expected at each one-third of the duration. This plan gives you interest with a life insurance cover attached to it. Take care of your parents and do your very best, confident that African Alliance has your best interest at heart.

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