We teach our kids healthy habits like what to eat, when to go to bed and that staying active is important for their health both physically and mentally. We teach them that a little hard work goes a long way and that saving instead of spending is a great way to secure their financial future. We do everything we can to make sure our children have all the advantages we were afforded and hopefully a few that we weren’t. We do this, because we want the best for them, and we want to be a part of how they get there.

A Head Start

There are many plans we can set up to help our children reach their goals before they even know what they are. The sooner we put something in place, the better off we all are. The first thing that comes to mind for most is a registered education savings plan (RESP). It’s a great way to kickstart the savings for your child’s education, but it’s not the only option out there.

Occasionally, I come across a client who tells me about a policy their parents put in place for them at a young age. It may not always be a big amount, but it was a great gift in the long run for many reasons. First of all, a juvenile insurance policy is an ideal combination of savings and risk management thereby enhancing their financial security. The policies are very reasonable in price given the age and health of young children, making the overall premium paid for these policies easy to justify. What’s more, is that the policy can cost less if paid off in a shorter amount of time, making the cost even more justifiable. Imagine paying less than $9000 for a policy that could be worth as much as $80,000 by the time your child is ready for retirement. Cash values on Whole Life policies may not seem like a huge bonus for us when we’re in our adulthood, but when purchasing a policy like this for a child, they make perfect sense.

Now, let’s put aside the monetary benefits for a moment and consider the added advantage of secured insurability. We all want to assume that our children are going to grow to adulthood with no health issues and as few challenges as possible, but we should keep in mind that anything can happen. Placing a policy for your child at a young age guarantees insurability allowing them to purchase insurance later in life regardless of their health situation. Even if you’ve ever assumed that having a term policy as an adult would be enough, it pays to know that you could qualify even with poor health conditions. It would certainly pay for your child to have that same assurance in life.

Your Investment, Their Future

So what are the options? Some of you are thinking whole life insurance with an accumulating cash value. This is a great option, because not only can you have it paid off in as little as 10 years, but it also adds all of the benefits we just discussed. Guaranteed Insurability and a nice cash value to take advantage later in life.

Another option would be a child critical illness policy. Again, there is the added benefit of guaranteed insurability for the child’s life when it comes to critical illnesses. Keeping in mind the many children out there suffering for illnesses at a young age and needing all sorts of treatments, this seems like a great idea. However, the advantage of having a lump sum payment to help pay for treatments for your child at a young age is only one facet of the benefit here. Having this policy in place means they no longer need to qualify for it later in life.

With so many people suffering from critical illnesses out there today, and not able to qualify for coverage, the advantage of having this coverage in place is even more beneficial. We may not need coverage in our youth, but most of us could certainly use it in our later years. As well, there is an option for return of premium on these policies as well. While it may not be quite as substantial as the cash value of a whole life policy, it will be helpful as an education fund later.

Whatever you choose for your child, you’ll know the value of it when they see what they have. Whether it is insurance used for it’s intended purpose at any stage of their life, or a cash settlement paid out at the surrender of the policy, they will be able to utilize this policy as an education fund or for making investments of their own as adults.

Financial security, guaranteed insurability, and an investment in the future of your child’s life! There are few gifts you can offer to your child at a young age that they will grow to appreciate in their adulthood, but this is certainly one of them.

Consider a policy for your child now so they can benefit from it later!

Call today for a free quote on juvenile insurance or any of the other products our carriers offer!