Child Life Insurance

“Life Insurance, on my kid??”
 

Yes, way! That $0.50 or $1 add-on at work is a good idea. It covers all your children for one low cost, typically for $10,000.

“But I don’t want to think about that; I don’t want to get paid if my kid dies!”

Of course you don’t! So, don’t think about it, just check the box so you’re covered if something happens. Funerals cost money, time off from work costs money even with paid leave, and there are many other hidden costs when grieving a traumatic loss. Now that add-on will expire when they turn 26, so it’s just a temporary plan, but in that time you might only pay around $500 total for coverage for all your children.

“Is the plan at work good life insurance coverage for children?”

Well, you get what you pay for. It’s cheap insurance for an unlikely situation. With that simple policy you won’t get anything back when their coverage ends if they’re still alive. Since it expires at age 26, this policy won’t be there when they’re raising a family. Additionally, if they’ve had any childhood illnesses or conditions, they could be disqualified from getting life insurance in the future. So, while the add-on coverage is a good value, an individual child policy provides better protection.

“How are individual child policies better?”

The biggest difference is you’re getting permanent life insurance that can last for your child’s entire lifetime. You won’t have to worry about the price going up or the coverage expiring. You also have peace of mind that health issues won’t affect their policy. As long as the premium is paid, they’re covered for life! A permanent policy will also build cash value, like an investment savings account. This could be through dividends paid by the insurance company or growth tied to the investment markets like S&P500, but it builds up over time and can be accessed during your child’s lifetime for small down payments or other purposes. You can even cancel a policy at anytime by discontinuing premium payments and requesting the available cash value be distributed to you. An individual child policy provides real protection with great flexibility.

“Can I start a child life insurance policy for my grandson or granddaughter?”

Absolutely!

We work with many top rated insurance carriers:

We will…

1.      Evaluate current coverage/limitations

2.      Determine actual coverage needs

3.      Recommend the plan for YOUR needs and budget

4. Adjust over time as your needs and plan change