The insurable interest requirement usually demonstrates that the purchaser will actually suffer some kind of loss if the CQV dies.
22.
A company may have an insurable interest in a President / CEO or other employee with special knowledge and skills.
23.
In Texas, only those with an " insurable interest " can take a life insurance policy out on someone's life.
24.
With no insurable interest requirement, the risk that a purchaser would murder the CQV for insurance proceeds would be great.
25.
In general, state laws require an owner of a policy to have an insurable interest in the life of the insured.
26.
A person who is financially dependent on a second person has an insurable interest in the life of that second person.
27.
Texas laws limit those with an insurable interest to close relatives, a creditor or a company wanting to insure a top executive.
28.
Insurable interest is no longer strictly an element of life insurance contracts under modern law, for example with viatication agreements and charitable donations.
29.
And with the new Shapiro bill, a company automatically has an " insurable interest " when an employee gives his consent to the coverage.
30.
There is no requirement that the beneficiary have a proven insurable interest in the life of the insured when the insured has purchased the insurance.
