Parenting is extremely difficult, it’s even harder than it seems to be. Every decision taken by the parents has a direct impact on their child’s future. Also, one of the recent survey states that “Parenting is seen as more difficult today than in the past”. Hence, parents are supposed to carefully step on each spectrum of this challenging yet beautiful journey of parenthood.
One such informed way to make this journey stress-free is by having a proper financial plan and goal to meet your child’s present and future needs. This can help you fulfill your child’s future aspirations without worrying about the monetary factor. You can meet these financial goals by opting for an optimum child insurance plan that offers sufficient coverage as per you (as a parent) and your child’s future needs.
Moreover, having a child insurance plan at the right time can help parents save from sleepless and stressful nights. It would also allow you to provide the best facilities that you always wished to offer your kids and act as a great financial assistance in case of any inflation or financial crunch during your child’s development years. These plans are one of the systematic ways of investment that helps parents save corpus amount towards securing their child’s future.
Child Insurance Plan is every Parent’s Need
Yes! You read it right every parent wishes to build the best for their child and wants to give them the finest facilities (better than what they received) and hence strives hard for it. Moreover, “Children are one third of our population and all of our future”, so investing in them correctly would not only benefit the parent but also benefit the society as a whole.
Also Read: Changes you Need to Make in your Insurance Plan after Marriage
Having a child insurance plan definitely makes your process smoother. Right from the child’s birth to schooling, higher studies, medicals, extra-curricular activities, marriage etc., there are numerous expenses that the parent has to bear and this list never ends. A child insurance plan helps you to make things easier for you by helping you save a corpus amount for such crucial stages of your kid’s life.
Is there a right time to buy a child insurance plan?
The right time to buy such a plan is as soon as possible. Do not wait for your child to hit his or her teen years to think about their future and buy a plan to secure it. Moreover, opting for a child’s plan at an early age offers you the benefit of comparatively lower premium rates. Also, planning to buy the insurance plan at the right age can help you to gain a good amount during your child’s important stages of life.
Beating Inflation
Expenses related to your child’s needs such as food, clothing, education, marriage etc. would upsurge in correspondence to the inflation. Having a child’s plan handy would help during the rainy days of inflation and as the policy matures you would receive either a lump sum or interval based amount that could be used towards paying the bills for your child’s education or other requirements.
Things to consider while buying such plans:
Parents must ensure whether the plan is opted at the right time and helps the child at the required stage of his or her life. It’s suggestable to look for such plans online as you get the option of comparing different available plans and their features, and accordingly choose the best as per your child’s needs.
Also Read: Insurance Vs Assurance: Know the Difference
You must also check if the plan comes with family income add-ons or waiver of premium benefits as having such an add-on cover helps parents to be financially equipped when they are not able to pay (due to incapability of any sort) or if the parent is not present. One must also check for accidental benefits, as it helps protect against income loss owing to a parent’s disability. In addition to this, there are certain plans wherein the customer can take the policy on his or her own life and later pass on the proceeds to the child. All this information must be checked well in advance in order to avoid any kind of unpleasant surprises in the future and to make the best use out of your plan.
There are huge benefits of having a child insurance plan, however, one must be extremely cautious while opting for such a plan as sometimes the product name (name of the plan) would encourage you to invest, but the objective of the plan would not serve your child’s needs.
Views expressed in this article are the personal opinion of Rakesh Goyal, Director, Probus Insurance.
Elets The Banking and Finance Post Magazine has carved out a niche for itself in the crowded market with exclusive & unique content. Get in-depth insights on trend-setting innovations & transformation in the BFSI sector. Best offers for Print + Digital issues! Subscribe here➔ www.eletsonline.com/subscription/
