A friend of mine's parents have six figures in consolidated parent plus federal student loans
They are both 60 and live in Ohio
He makes about 100,000 per year and she does not work
They have some money in a 401k and some cash (maybe 75k total) as well as two paid off cars worth about 7k each.
The loan is in his name only (I believe)
He also has a universal life insurance policy with a death benefit of a couple hundred thousand
QUESTIONS:
If he were to die first, would the loan be forgiven completely or would the wife inherit the loan?
If she were to die first, and he couldn't finish making the payments before he died, would the life insurance, 401k, and cash be put towards the remaining balance of the loan before going to the children?
Any advice or guidance is appreciated, as always.
Thanks!