In an insurable interest scenario without economic interest, which relationship is recognized?

In Virginia life insurance law, the concept of insurable interest requires that the policyholder must have a legitimate interest in the life of the insured. This generally means that the policyholder would suffer a financial loss or hardship if the insured were to pass away. Under most circumstances, certain relationships inherently carry this insurable interest, regardless of an economic interest directly connected to the life of the insured.

Marriage partners are recognized as having an insurable interest because they have a close personal relationship that implies an emotional and often financial interdependency. This close bond means that a spouse would likely experience significant emotional distress and potential financial hardship upon the death of their partner, justifying the issuance of a life insurance policy.

While other relationships such as siblings, business partners, and close friends may involve emotional connections, they don't inherently establish the same level of recognized insurable interest as that found in marital relationships. For example, while siblings may care for one another, the insurance law generally does not recognize them as having the same right to insure each other's lives as marriage partners do. Similarly, business partners often have an economic interest in each other's lives due to the business relationship, but this can become complex when an economic interest is not present. Close friends, while they may have emotional