Without sounding like a "parasite" or being ghoulish, I have a question regarding taking life insurance out on someone. Here is my concept. The person I'm referring to is 72 years old & rather indigent. He is my stepfather's cousin. He borrows money which he does pay back. But I was thinking of a plan....GIVE him $5000 cash to do with what he wants to (buy a TV, clothing, car tires or refrigerator or whatever)...if he agrees to my taking out a life ins. policy on him with myself as the beneficiary.
Now, I realize this sounds ghoulish, but the $5K advance would justify this but my question remains, can I actually do this? If so, what is a good insurance company and the actual type of insurance you would recommend? I know he would agree to it and I could even draw up a small contract/agreement he and I could sign between us and then have a friend I know, notarize the agreement. Has anyone ever done this? The person I speak of has no burial insurance, no savings or other income - never was in the armed forces and only gets an SSI disabilty check each month. Feedback, comments and constructive criticism would be appreciated.
Thank you.
Now, I realize this sounds ghoulish, but the $5K advance would justify this but my question remains, can I actually do this? If so, what is a good insurance company and the actual type of insurance you would recommend? I know he would agree to it and I could even draw up a small contract/agreement he and I could sign between us and then have a friend I know, notarize the agreement. Has anyone ever done this? The person I speak of has no burial insurance, no savings or other income - never was in the armed forces and only gets an SSI disabilty check each month. Feedback, comments and constructive criticism would be appreciated.
Thank you.