Posted on February 5, 2010.
For the umpteenth "time I come to see the life insurance. Commercial? that says you should buy enough life insurance to bill collectors will not come after your family, immediate family members to pay your bills after your death. Unless of course you are a co-signer.
Can someone tell me, is really a state within the Union who would do that?
I am of the opinion that there is not, and this is a marketing ploy on the part of insurance companies.
Correct?
I remember someone asking me to pay the bills from my mother after her death, but 20 years ago. They could have done at that time.
It's a marketing ploy.
The estate is responsible for paying the debts. All assets must be used to repay debt before being distributed to heirs. In some states community property, the surviving spouse may be liable for debts.
In all cases, the insurance is not part of an estate. The benefits of the insurance proceeds directly to the recipient (name of the estate receives the funds if no beneficiary is named). The recipient does not need to use these funds to pay for insurance or other bills of the deceased.
In all these announcements, the deceased was married recently. Creditors may ask the surviving spouse to pay.
If the couple owns a home, half of the interest held by the deceased is available to pay their debts. Nobody really wants to have to sell the house to get to the cash ... or put relatives through probate to prove they did not leave anything of value.
as long as your mother did you have on a bill co-signed, it could take up whatever ....---- you are not liable for its debts ... All you have to do is send in a dead cert. and the bill is void and Nill
