Top 5 ways how ABSLI Vision Star Plan can help in your child`s future

A child is a bundle of joy for parents who want what’s best for their children, every time. That is why they work hard and try to earn and save enough so that their children can get the best education and upbringing. Parents start saving as soon as their child is born so that they can accumulate an adequate corpus by the time the child needs it.

As a parent, you might think of saving regularly towards a corpus for your child but you should factor in the possibility of a premature death too. Death is uncertain and if it strikes prematurely, you might not be able to save enough for your child’s future. That is why you need a child insurance plan that helps deal with the financial loss suffered due to premature death.

Aditya Birla Sun Life Insurance offers a traditional child insurance plan called the ABSLI Vision Star Plan. A participating money-back plan that can help you save for your child’s future and secure your savings too.

Here are five ways in which the ABSLI Vision Star Plan helps plan for your child’s future –

The policy has a limited premium payment tenure. While you can choose a policy term of 14 years or 16 years, you have to pay a premium only for 5 to 12 years. As the premium payment liability is limited, you can save towards other avenues once the premium payment term is over. These additional savings would help in supplementing the corpus that you are creating for your child.

The ABSLI Vision Star Plan is a money-back plan that offers a guaranteed percentage of the sum assured five years after the premium payment term is over. Through these guaranteed incomes, you can plan for the other financial needs of your child like buying a bicycle, enrolling in extracurricular activities, etc.

There are two money-back options that the plan offers. This allows you to choose an income payout that suits your needs the best. The options are as follows –

• Option A – You get payouts every two years. The rate is 20% each for the first two payouts and 30% each for the next two payouts.
• Option B – You get annual payouts every year. The rates are 15% each in the first two years, 20% each in the next two years, and 30% in the last payout.

ABSLI Vision Star Plan is a participating policy that offers bonus additions throughout the policy tenure provided you pay the premiums duly. These bonus additions help in enhancing the death or maturity benefits. The bonus keeps accumulating and is paid on death or maturity. You also get a terminal bonus with the benefit payout.

The bonus enhances the policy benefits so that you get a sizeable corpus for your child’s needs.

Being a life insurance policy, the ABSLI Vision Star Plan promises life insurance coverage during the policy tenure. In case of death during the policy tenure, the plan would give you a guaranteed death benefit. This benefit would give your family the financial assistance they need due to your untimely passing.

If you want to enhance the coverage, you can opt for riders and get all-around protection. The plan offers a choice of six optional riders that you can add to the coverage. These riders take care of possible contingencies that you might face and give financial assistance.

Overall, the ABSLI Vision Star Plan packs a punch in creating a savings corpus, giving liquidity through regular and guaranteed money-back benefits and also with bonus additions. You also get tax benefits on the premium that you pay and the money-back and maturity benefits that you receive. This tax benefit helps you save taxes while saving for your child and also create a tax-efficient corpus for your child’s financial needs.

So, if you have a child, secure his/her future with ABSLI Vision Star Plan.