A child insurance policy is a saving cum investment plan that is designed to meet your child‘s future financial needs. Children's Plans helps you save so that you can fulfill your child's dreams and aspirations. These plans go a long way in securing your child's future by financing the key milestones in their lives even if you are no longer around to oversee them.
Most of these goals have a price tag attached and unless you plan your finances carefully, you may not be able to provide the required economic support to your child when you need it the most. For example, with the high and rising costs of education, if you are not financially prepared, your child may miss an opportunity of a lifetime.
As a parent, you wish to provide your child with the very best that life offers, the best possible education, marriage and life style. From a very early age of the child, the parent can invest fixed amounts every year which can be timed to mature when the child attains a certain age, say 18 years. Major events in the child's life, like marriage or higher studies can be planned and financed by Child Insurance Policies if the parent takes adequate plans at the right time. Plans can be purchased as soon as the Child is born.
Just imagine how much you will need when your young children tale these important steps in life in the future. With our Children’s Plans, you can start building regular savings today to help you secure your child’s immediate and future needs even when you are not around. A child insurance policy allows your children the freedom to realize their future dreams like higher education, study abroad, etc. Child insurance policy gives you the advantage to start investing right from the time the child is born and withdraw the savings once the child reaches adulthood.
Cost of education is sky-rocketing and with each passing year we are witnessing increase in the fee structure of various academic institutions. Child education policy helps you in preparing for the funds required for the education of your child. Today, a 2-year MBA course at a premiere management institute would cost you nearly Rs. 3,00,000/- At a assumed 6% rate of inflation per annum, 20 years later, you would need almost Rs. 9,07,680/- to finance your child's MBA degree.
Child Insurance Plans are the best way for investing in your child's future. In certain Child Plans there are built-in flexibilities which keep the policy active and waive off the premium even after the death of the parents. These options are extremely useful as no other financial instrument offers such flexible options. Most plans come with built-in riders or add-on covers such as Waiver of Premium benefit.
Child Insurance Plans come in 2 variants - Traditional plans in which the amount of payout is guaranteed and ULIPs in which part of the amount paid as premiums every year is invested in financial instruments which are known to appreciate greatly over a long period of time.
Protection: Need for a sound income protection in case of your unfortunate demise
Investment: Need to ensure long-term real growth of your money
Savings: Save for the milestones and protect your savings too
Tax Benefit
In order to decide how much you need to invest in a child insurance plan you need to take into account how much you can put aside, and how much you will need at the end of the period
