So my 71 year old dad (retired in 2016 after being an A/P mechanic for 50 years) isn't doing too well; he had bladder cancer a few times in the last 5 years and beat it. Well they did a CT and found it has spread all over to his kidneys, liver, lungs. They give him a 25% chance with treatment, but he has been hospitalized with hypotension, really bad edema with fluids that needs to be drained, jaundice, an his mental faculties aren't all there-possibly because of toxins not processed by his kidneys. This in addition to a bunch of urological issues that we don't need to bother mentioning. They will not let him even start treatment because of his weak condition and we don't know if he will be able to. Just seeing him I feel as though he won't last long unless he can magically get strong and active again.
Sooo, we are going through a lot right now. I was surprised to hear that he had a life policy for his age. My mother told me that she has just received a notice that their September payment is increasing from $70 a month to $2200 a month for a $225K policy that he has been paying for 30+ years. She claims they can't be aware of his medical history and thinks it is just an increase because of his age. The timing seems suspicious to me. My father in a moment of clarity or insanity (they are so difficult to distinguish at times), who is in and out of it, drew a big penis on the statement and told my mother to send it to them with no future payments. He was very upset as he saw this as a way to help her out as he doesn't have much to leave her, SS and a small 401k.
1. Do you guys think that this is normal for a life policy premium to increase that much in such a short amount of time right when my dad will most likely die? Could they have somehow found out about his medical condition? Do you think this should be investigated and reported or is this typical and legal?
2. My mother is an about to retire teacher without a lot of money, but enough to survive in their condo. It is morbid and not something to advertise, but she needs that life insurance policy. I am thinking of helping her out on the payments. I want my father to live, but it feels like we are betting for him to die, which is disgusting. But this is what a life insurance policy is for and my father would have wanted it that way. What if it happens in 1 month? What if he gets better after 2 years of paying more than my mortgage every month and then lives another 10 years?
I told my mother that we would help her pay for 3-6 months and re-evaluate how he is doing and then discuss our options. We are keeping him out of the loop, but he is asking questions about it.
I am also having her take the policy to a lawyer to confirm if it will pay out with the current situation, rather than paying the premiums to find out she wouldn't get the money because of an unknown contingency. Possibly, the lawyer can also advise if this premium increase is legal or ethical.
You don't need a weatherman to know which way the wind blows.