Life Insurance for Children
No one likes to think about it, let alone talk about it, but your children are at risk everyday just as much as we are. Kids are susceptible to many of the same terminal or life threatening diseases as adults, they can be harmed much easier, and they don’t always know the best way to protect themselves from danger. This all might seem a bit heavy handed, but it’s difficult for any parent to accept the fact that their children’s lives aren’t guaranteed. That’s why more and more people are embracing coverage for your offspring.
Life insurance for kids basically works exactly how coverage for an adult would, although you typically buy much less of it. Since kids have no income, you’re more or less getting insurance for funeral and burial costs should anything ever happen to them. However, by getting protection for your son or daughter early in life, you may be saving them from possibly being uninsurable when they get older. Some financial experts believe it’s best to take out a small, renewable policy very early in your son or daughter’s life. If you take out a policy while they are young, they’ll have the option of renewing it about 20 years later, usually without any sort of medical testing.
Is it Worth it?
There’s great debate over the usefulness of a policy for offspring. Some experts think it’s a great investment and provides your offspring with protection from being uninsurable when they get older. Other see it as a complete waste and think the money would be better spent on a college fund or other investments. Their argument is why would you invest money for your kids if there’s a good chance they’ll never benefit from it? There are many different investment options out there that can provide a better return on your money. In the end, the decision is yours to make and it’s important to make your choice based off what’s best for you, not what other people are telling you.