We all want to secure our child's future in one way or another. Or we make investments in the bank, gold, or stocks and shares of the market. The Unit Linked Insurance policy is a popular insurance policy that is preferred by most parents. It is best to opt for child insurance while your child is still young, thus ensuring your child's future.
Educating a child in today's world is a huge expense for most families. Furthermore, a growing population of students prefers to complete their undergraduate or graduate studies abroad. An education abroad would cost roughly 50 lakh to 1 crore or possibly even more. This includes child support, travel, and shelter expenses, in addition to the course fee.
Therefore, if parents plan early and responsibly save a certain amount of money each month, the pressure to pay for a child's education will be greatly reduced. You can also get additional information on CareSource insurance for your child from Omega Pediatrics.
So how does a children's insurance plan work? The basic premise is to invest a little money every month or every year for a maximum period of 25 years, and in turn, you are allowed to collect your money periodically in the future. Therefore, you could use a portion of the money for your son's studies and, at a later stage, for your son's marriage.
So why should you invest in a child insurance plan? The first reason is probably to provide your child with an education. Saving for child insurance is also considered an important exercise in financial planning. It helps you organize your savings in addition to planning your own life insurance.
The following are factors to consider when planning:
• Time frame for the construction of a corpus.
• Age at which the fund may be required.
• Investment avenues to consider.