HOW TO CHOOSE THE RIGHT INSURANCE FOR YOUR CHILD?

What is child plan?

• A child plan is an insurance cum investment plan that provides financial security to your child & help him meet his future milestones like education & marriage etc.• The plan provides him financial support even in case of

your unfortunate demise.• A child plan continues even after the death of the

policyholder & provide maturity benefit to the nominee.

Features of a typical child plan:

• Premium amount is dependent on the sum assured & maturity amount• Regular mode of premium payment in which the premium is paid

regularly (like yearly, half yearly or even quarterly). Or it can be single mode of premium in which the whole premium is paid as a single payment.• The assured sum should be around 10 times your present income.• Policy term for a child plan is the ideal time when your child get on

his feet. E.g. if he is 5 years old then the policy term could be 13 years…

• Maturity Amount is the amount that you would require at the end of the policy term.• Waiver of Premium: If the insured person dies, the policy

continues by passing off the financial burden to pay the rest of the premium to the insurer.• To meet financial needs of a kid at key moments in his life,

partial withdrawals can be done.

Benefits of a child plan:

• Premium Waiver Benefit• Accidental Death and Disability Benefit• Critical Illness Rider Benefit

Why you must have a child insurance plan ?

• To meet rising cost of education for your child• To meet their family & child’s future assets in case of his

unfortunate death • Cover the risk of early death of the policyholder by

providing the lump sum amount, the policy doesn’t end here. ..• The insurance company continues investing this money on

behalf of the policyholder. Thus the child can waive all future premiums

How to select the right child plan?

• Engage an insurance advisor • Calculate the life cover• Compare insurance plans

• The companies like AvivaIndia, Shriramlife, Sbilife etc. provides best child insurance plans in India.• You can compare the different schemes & opt the best one

as per your child future requirements.

THANKS!