Insurance Protects Grandparents, Too
Insurance Protect Grandparents Too
Growing old and being financially secured is really a must goal in life! To be sure, there are plenty of grandparents who love nothing more than doting on their grandchildren. But grandparent love does come with a price tag. According to the recent survey from TD Ameritrade, their survey shows that grandparents spend an average of $2,383 each year to benefit their grandkids. That includes the more expected doting-grandparent gifts of toys and outings, as well as college savings, extra-curricular lessons, school supplies and even an allowance.
Another option related to living at home is adult daycare. Adult daycare is much like assisted living, but you live at home or with a family member and spend either the entire day or a portion of the day at a care facility. Average rates vary from state to state, but the median cost per month is $1,603.2 Unfortunately, Medicare doesn’t pay for adult daycare, but Medicaid may be an option.
We know that you love your family. And someday you will grow old and may become a grandparent too. And if you are hoping to assist your kids and grandkids, it’s important to get your own financial plan in order first. Think about how that outlay of time or money will affect your ability to meet your own financial goals, whether that’s exploring an encore career or traveling, said Douglas Boneparth, a certified financial planner and president of Bone Fide Wealth in New York City.
Get Insured and Be Secured!
On the other hand, if you have a grandparent and you want to make sure that they are well taken care of, a good strategy would be to obtain life insurance for your grandparents or parents would be to have them apply for coverage assuming they will be the owner of the policy. They also should name their spouse as the beneficiary as well, whenever it is possible.
Once they are approved and you accept the policy, you will then be able to make the payment to get policy placed in force. Once the policy is in force, you are able to make policy changes, in which you can change the policy owner, beneficiaries, billing address, and more. It is not necessarily difficult to obtain life insurance for your grandparents or parents, but you need to ensure that everyone is on the same page and there is no miscommunication. You will be unable to conduct this process if your grandparents do not answer any of the questions or sign any documents. Consent is the number one most important aspect of obtaining a life insurance policy for someone else, and without it, you will not be able to obtain it. If the insurance company also believes that there is ill-will in attempting to receive coverage, then they will ultimately deny coverage as well.
It is important to note that the company will more than likely ask for a health exam before the policy can be written and that policies will not pay out for a minimum period of time for various reasons. With all of this being said, it is important to consult a life insurance agent before making any decisions pertaining to purchasing life insurance for your grandparents.