As
parents, one of the most important things that you have to do is to ensure that
your child’s future is secure. For this purpose, parents work hard and earn
enough money so that they can provide for their children sufficiently. But that
is not enough; children need money at various stages of their lives, be it for
higher education, going abroad or starting their own business venture. Parents
need to always be prepared for whatever financial needs their child may have as
long as they are dependent on them. There are various child investment plans
and child saving plans that ensure the financial security of your child.
One
of the most expensive affairs for a child is when they go for higher education
or when they go for education abroad. It’s a huge expense to send your child
abroad to study. This is the time when a child savings plan comes in handy.
There are many child investment plans that are solely dedicated to your child’s
education. These plans come at a minimum premium and pay you a lump sum at the
time of maturity. They are often sufficient to pay for your child’s college and
higher education and are particularly helpful if your child wishes to study
abroad.
Some
child plans are not only education
oriented. They even allow the option of withdrawal during the tenure of the
child investment plans. This can be used for medical treatment
of the child when he or she falls ill. Such partial withdrawals come in very
handy when the child is hospitalized due to an ailment, minor accident or a
more serious medical condition. The best child plan helps to reduce the financial
burden caused by medical expenditure, and such pay-outs act as an add-on for
one’s health insurance plan.
These investment plans can also help your child in case
something happens to you. They make sure that your child is taken care of when
it comes to their financial needs. Insurance companies offer a premium waiver
if the parent passes away during the term of the policy. The child receives a
lump sum amount promised at the time of purchasing the child
investment plans and does not have to pay balance
premium.
