Life Insurance Question

[horsepuss]

Can I take out a life insurance policy on someone other than myself. For example, lets say I have a friend who is reckless and I start a hefty life insurance policy on him. Than he dies and I get lots of money, is that legal.

I know some corporations have done that with employees.

And if I could do that how moraly wrong is it, not that I care just a good discussion topic.

[goldengloves]

It all depends on whether or not you’ve an “insurable interest” in the person, like if that person is a relative or you’ve some sort of strong relationship with the person. It’s to prevent things such as you’re speaking of; gambling on the life of someone to benefit you.