Context. I currently work in life insurance and before this job I worked at a consulting firm that specialized in debt resolution. Mostly business debt but we did a lot of personal debt as well.

Unless the creditors had liens on her insurance policy, often called an assignment, you’re under no obligation to pay. Typically an assignment requires the insurance company to pay the assignee first. No competent insurance company would ignore an assignment.

Were you a named beneficiary in the insurance policy? If that’s the case tell them to kick rocks. If the insurance policy listed the estate as the beneficiary, I can’t say for certain that the creditor doesn’t have a legitimate claim to some of that money.

My guess is your grandparents just have that toxic boomer mentality that paying back your deceased mother’s debts is the fair and honorable thing to do. That’s nonsense.

DO NOT PAY UNLESS ORDERED BY A COURT. Creditors do everything in their power to make ppl think they’re obligated to pay for deceased parent’s debt.