Child Life Insurance Plans - Features,Benefits and Details
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Child insurance plans are investment cum insurance, these plans are designed for parents who wish to create a financially secured future for their child. These plans provide a maturity benefit which can be used to cover your child's educational expenses, marital expenses and help them pursue their dreams. These plans offer partial withdrawal and waiver of premium benefits. Under the waiver of premium benefit, In case the life assured passes away during the policy term, all future payable premiums will get waived off, the insurance company will pay all the future payable premiums on your behalf.
Features of Child Life Insurance Plans
Following are some key features of a Child Life Insurance plan:
- Offers Life Cover
- Provides Financial Protection
- Partial Withdrawal is Allowed
- Waiver of Premium Benefit
- Goal Protection
- Multiple Fund Options
Benefits of Life Insurance Plans
Following are the benefits that one can avail under a child life insurance plan:
- Life Cover: Child life insurance plans are a mix of insurance and investment tool. This type of plan provides life cover. In case of an unforeseen demise of the life insured during the policy term, the insurance company will provide a death benefit to the family of the deceased. The death benefit provided in the event of an unforeseen demise of the life assured can act as a shield for the family of the deceased. This plan ensures your family is financially protected in your absence.
- Fund Your Child’s Future Expenses: Child insurance plans let you invest in different fund options such as equity, cash or debt based on your requirements. This way you can grow your wealth to provide for your child’s future financial expenses such as higher education, martial expenses or helping kick start their career.
- Maturity Benefit: Child life insurance plans also provide maturity benefit in case the life assured survives the entire policy term. The maturity benefit is provided at the end of the policy term and can be utilised to fund your child’s future financial expenses.
- Liquidity: Partial withdrawals are available under child life insurance plans. You can make partial withdrawals anytime during the policy term. The partial withdrawals can be utilised to fund your child’s extra curricular activities to nurture their talents.
- Waiver of Premium Benefit: This type of plan also offers a waiver of premium benefit under which all future payable premiums get waived off in case of an unforeseen event. If the life assured passes away during the policy term, the insurance company will pay all the future payable premiums on life assured’s behalf. This ensures the policy continuance and ensures that your child can avail the policy benefit after you.
Why Should You Invest In A Child Life Insurance Plan?
Child life insurance plans are a smart way of protecting and growing your corpus to fulfill your child’s future financial requirements. To fulfil a child’s needs is a parent’s first priority. Through child plans you can grow your wealth to help in financing your child’s higher education, martial expenses and help your child kick start his/her career. This type of plan offers waiver of premium and also provides financial protection to your family in case of an unfortunate event. By investing in a child life insurance plan you can ensure your child’s financially secured future.
Also Read: Top 5 Benefits of Buying Child Insurance Plans
Child Insurance Claim Settlement Process Explained
Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.
