Insurance for Mom

Jo wants to take out life insurance on her mom. Her mom is her nanny, and Jo isn't sure who would care for her kids if her mom passed away. Dave disagrees with buying life insurance for Jo's mom.

QUESTION: Jo in Los Angeles wants to take out life insurance on her mom. Her mom is her nanny even though Jo can’t afford to pay her. Jo isn’t sure who would care for her kids if her mom passed away within the next couple of years. Dave disagrees with buying life insurance for Jo’s mom.

ANSWER: I would not buy life insurance on her. I would spend that money to get out of debt. If something did happen to her, you’ll find a way to work it out.

I appreciate that it would be a big problem, but that wouldn’t be my plan.