Your Child’s Future Is Important. Here’s How You Can Secure It
“Children are the world’s most valuable resource and It’s the best hope for the future.”
-John F. Kennedy
There is no doubt in the fact that a child brings with ita new life and a big bundle of happinessfor the whole family. But at the same time a lot of responsibilities for the parents. Every parent thrives on providing their child with the best possible future. And an excellent way to start is by investing in a child insurance plan. It not only protects your child’s future but also offers the benefits of an investment. Here’s how:
- Takes Care Of The Education
The best way to invest is in a child’s education. Today, the primary concern for the majority of parent’s is the rise in the cost of education. Quality education will not come cheap. For this, it is crucial to invest early in child investment plans so that by the time your child reaches 18, you will able to finance his/her higher studies without any fuss. A one time investment plan for your child will ensure a secure future and will provide for all the essential needs.
- Builds a habit
Children insurance plans come with a dual benefit of insurance as well as an investment. So, before purchasing a child plan, analyse your financial goals and the significant phases of life where funding is required such as primary education, higher studies and marriage. Initially, you may experience the burden of paying premiums, but in the long run, you will see yourself fulfilling all your and your family’s dreams. The built corpus will help your child grow towards a successful future.
- Protection against health issues
You might not want to think about any medical emergency, but it is crucial to cover your child against any unfortunate event such as any severe illness or death. At the time of any crisis, having child insurance will take care of the medical expenses.
- Collateral for loans
There is full acceptance of child plans in financial instituitions as collateral if you want an education/personal loan for your child. The credit may assisst in financing your child’s higher education.
- In case of death of a parent
This one time investment plan for your child will also ensure the fulfillment of your child’s future needs in case something happens to you. One can never be sure of life. In case of an unprecedented demise, the child will receive the lumpsum amount and will no longer have to pay premiums.
Get the Right Insurance
A parent will never want to jeopardize the future of their child. Given the uncertainties of life, planning and investing for your child is of utmost importance.
This one time investment in a child’s plan will serve your child’s interest better than any other insurance.
Comprehensive child insurance plans from reputable insurers such as Max Life Insurance provide a life cover of around ten times the annual premium. Moreover, these plans offer partial withdrawal facility as needed. You can also avail tax deductions for the premium paid based on the prevailing tax laws.
Another way to save for your children’s future is through Ulips saving plan. It offers a perfect combination of life insurance protection for your family as well as investment. A lumpsum payout is made immediately after death along with regular payouts in the form of Family Income Benefit. Tax exemptions on the premium payable are counted under Section 80C of the Income Tax Act, 1961.
Ideally it is advised to buy a child plan as soon as your baby is born. Early purchasal allows you to accumulate more and more funds towards the maturity amount. Also, the younger and healthier a person is, the lower will be the premiums associated with their insurance.