If not, and your parents don't need the income stream from the loan, then I would recommend the second option since it's much cleaner. (money.stackexchange.com)
I am conservative so I will RE with enough so that I don't need an income from consulting to meet my needs. (moneyboss.com)
You can put the death benefit of any life insurance policy toward funeral expenses, but there's also final expense insurance for people who don't need income replacement. (policygenius.com)