If you want dual benefits of insurance and investment, child insurance plan is the best choice. Plans can be bought by parents when the child is as young as 14 days. Once the child enters adulthood, the policy matures. However, periodic or occasional withdrawals before maturity of the plan are allowed by some child insurance policy providers. Getting insurance for your child is a long term game, meaning there is investment planning involved for a large number of years, which is why it is a perfect tool when planning for the future.
1. To Cover Children’s Expenses
Like most fathers, I want to be sure my kids are well taken care of and can afford a quality college education. For this reason, additional coverage is absolutely essential while my kids are still at home.
2. Income Security for Your Child
This is especially beneficial for kids who are actors, singers. Their money tends to increase at a higher rate over a longer period when put in investment plans like these.
3. Untimely Demise of a Parent
No one can anticipate the time or circumstances of one’s death, especially when one is young. In the event of the death of a parent during the term of a child insurance policy, the insurance company provides a premium waiver. Thus, the beneficiary gets a lump sum amount and is no longer obligated to pay any premium on the policy.
4. Medical Emergency Aid
It is advisable to get a child insurance when the kid is young, especially if there is a family history of critical illnesses. If a medical emergency arises and the child has to be hospitalized, this plan would help by offering financial support. Some policies allow the holder to withdraw a lump sum from the policy to make sure that your child gets the necessary medical treatment.