The type of relationship doesn’t matter. What’s important is
that there has to be what’s known as an insurable interest. You cannot take out
a life insurance policy and be the beneficiary on someone who you have no
financial ties to. For instance, taking out a policy on your neighbor down the
street whom you barely know isn’t allowed. But, if that neighbor was, say a
business partner, then it would be. So as long as you can prove financial
dependence, you take out a life insurance policy.