Protecting your child's future may be your first goal as a parent. That is why investing in a child insurance policy is the right decision. However, it is equally important to select the right policy that gives you maximum benefit.
Here are a few benefits you need to look for while buying child insurance for your child:
Protection: The most important benefit of buying a child insurance plan is to protect your child in case of an unfortunate event. A good insurance policy covering your children's financial needs can take care of their welfare even in case of your absence.
Maturity benefit: Children's insurance plans are designed in such a manner that your child is protected financially at every important stage of his life. Most often, the maturity of child plans is around a specific stage of a child's life. Most child insurance plans will offer a maturity period which is related to your child's age, for instance, when he child turns 18, 21 or 24 years.
Partial withdrawal facility: A child insurance policy not only offers protection but also acts like a savings fund for your child. On maturity, the lump sum amount received can be used to meet various goals related to your child, like education, marriage, etc. However, what if you need money for your child before the policy matures?
Many child insurance plans today allow you to withdraw funds from your policy partially, so that an urgent requirement can be met. While looking for a policy for your child, check out which plan offers this facility.
In addition to the above mentioned pointers, you can also look out for additional benefits like surrender benefit, guaranteed bonus, etc. You can complement your child's basic insurance plan with riders like income-benefit, waiver of premium, personal accident benefit or critical illness.
A comprehensive child insurance policy that provides maximum benefits will not only ensure that all your child's needs are met, but also that his future is financially secure in case of your absence.