“Equitable Interest” and Life Insurance

[Corey Kenney]

The owner/instructor of where I did my coursework for my REL many years back said something that stuck with me and I wanted to get feedback and clarification or see what people feel about the situation. Here it goes, This person said that anyone that has an “equitable Interest” (I believe that was the term he used) in someone else can take out a life insurance policy on that individual and the example he used was an investor who owns a property and renting out units let’s say in a retirement community or something geared towards people of older age. Then you can imagine the rest of the example wait and collect big! Is this correct?