Life insurance for kids – One of the ways through which you can protect your kids financially and health-wise is by purchasing a life insurance for them. Life insurance often serves as a backbone for your loved ones and others who depend on your income for survival. There are different types of life insurance you can purchase for your children. The most important thing is to find the one that works for you and your children.
In this article, we would shed more light on the key considerations surrounding life insurance for kids. As this would empower you to make informed choices that facilitates the future and financial security of your children. In order not to miss out on important information, ensure you read to the very end.
What Is Life Insurance For Kids?
Life insurance for kids is a permanent life insurance policy that offers protection to the both the policyholder and the child if an unfortunate event like death occur. When you buy life insurance for your kids, your insurance company will provide a fixed death benefit to you and the beneficiaries of the policy if your child passes away while covered.
There are two major ways you can purchase life insurance for your kids; as a standalone whole life insurance policy or as an add-on to your permanent life insurance policy. Most insurance companies give you the opportunity to choose between term and whole life insurance policies. Review the policy benefits and coverage options to know which is best for you and your kids.
Companies That Sell Life Surety for Kids
Several companies offer stand-alone life insurance coverage for kids; some also sell term life insurance riders for kids when parents purchase life surety for themselves. Highlighted below are top companies that sell life insurance for kids;
- Aflac Juvenile Life Insurance
- American Family Dreamsecure Children’s Whole Life
- Forester’s Brightfuture Children’s Whole Life
- Globe Life Children’s Life Insurance
- Gerber Life Grow-Up Plan
- Mutual Of Omaha Children’s Whole Life
You can visit the websites of these life insurance companies, check their coverage options and limit to know which one best aligns with your preference and needs.
At What Age Does Life Surety For Kids Stop?
The age in which you get to transfer the policy ownership to your child varies across several insurance companies. However, the life insurance policy usually states when the life insurance policy for the child is going to end. Most insurance companies stop offering coverage once your child is between 21-25 years of age.
It is important to read the fine prints of the life insurance policy your purchased for your child in order to know what the policy covers, what it does not cover, including when the policy ownership transfer is to take place.
Pros of buying life Surety for kids
Life insurance for kids is highly recommended for individuals who seek financial protection for their kids and loved ones. Although buying life insurance for your kid can be unsettling, it offers peace of mind for you and your family. Here are some of the advantages of buying life surety for your kids;
- It serves as a safeguard against unforeseen tragedies.
- It is a potential avenue for building long-term savings investment opportunities.
- Life insurance for kids attracts lower insurance rates.
- Life insurance also helps to maintain coverage for your children when they reach adulthood.
These and many more are pros of purchasing a life surety policy for your kids.
Cons of Buying Life Surety For Kids
Life insurance for kids may not work for everyone, this is because this while there are several advantages of buying a life surety for your kids, there are downsides as well. Hence, it is important to consider the disadvantages of life surety for kids beforeapplying and paying for the policy. Here are some of the cons of buying life insurance for kids;
- The coverage amount is usually low.
- Life surety for kids often lead to unnecessary expenses
- Limited need for coverage during childhood
- Potential for policy lapse or cancellation.
FAQs
Is life insurance for children worth it?
Of course, it is! Your child typically depends on your income and one of the best ways to ensure their protection is by purchasing a life insurance policy for your child. Depending on your family medical history and financial capability, buying a life insurance for you kids is worth all that it takes. If an unfortunate event like death occurs, your policy will cover all expenses related.
Who should consider buying life Surety for kids?
Literally anyone can purchase life insurance for their child, whether you are a parent or a legal guardian, buying a life insurance policy for your child is a game changer. It means you want the best for your child and also peace of mind for yourself, knowing fully well that, your children are adequately protected if an unforeseen event occurs.
What is the minimum age for buying life Surety for children?
Well, it all depends on the state in which you reside. However, in most cases, life surety companies often approve of life surety for kids when they are two weeks old. Your child can then buy his/her own policy when he/she attains the eligible age for life insurance. Most insurance companies offer life insurance coverage to children up to the age of 18; it all depends on the state.
