Is the child responsible for the Direct Parent PLUS Loan when the loan is under the parent that has passed away?
Specifically by the U.S. DEPARTMENT OF EDUCATION.
What happens to my parent's PLUS loan if my parent dies or if I die?
Your parent's PLUS loan will be discharged if your parent dies or if you (the student on whose behalf your parent obtained the loan) die.
Also note that when it says a loan will be discharged, the IRS considers that a monetary windfall to be taxed. So you would likely still owe money to the IRS for the year that the loan is discharged. Talk to a CPA or tax attorney if this will place an undue burden on your financial situation.