Insurance for my parent living abroad

Milia

Hello,

I am wondering whether I can insure myself in case of my parents death living abroad?

InsideInsurance

Milia wrote: »

I am wondering whether I can insure myself in case of my parents death living abroad?

What risk are you actually trying to cover? Is it only if they die whilst living abroad you want covered, ie if they moved back here you wouldnt want the policy to pay out?

How old are your parents?

Assuming you are concerned of funeral costs, costs of getting their possessions back to the UK etc then you could take out a life policy on them (whole of life may be appropriate given the low sum required and certainty of needing payout) or probably easier would be for them to take the same out on themselves and just have it written in trust with you being the beneficiary of the trust

agrinnall

Is it actually legal to take out a life policy on somebody else? Where is the insurable interest?

InsideInsurance

agrinnall wrote: »

Is it actually legal to take out a life policy on somebody else? Where is the insurable interest?

Its perfectly legal

If there is no insurable interest, which oddly with Life only needs to exist at the point of purchase and not at the point of claim, is not a "legality" issue but may result in a claim being declined.

I did ask the OP what their concerns are but the most obvious thing is as the adult child of the insured life is that they would want to have their parents remains brought back to the UK, cost of a funeral and cost of dealing with the overseas estate inc bringing things back here and possibly having to go abroad to sign documents etc.

This wouldnt justify a £1m policy but certainly wouldnt be cheap to do even if the parents are in the EEA

Milia

they live abroad, and their funeral will be happening there, as they do not come from the UK and they were never here.

macca1974

UK life insurance companies generally will not provide life insurance for people resident overseas.

So, the only way you would be able to do it would be for them to take some cover out in the country that they live in from a life insurer in their country of residence (or maybe an international life insurer if they operate in that market).