Although it may feel odd to think about life insurance for your child or children, the benefits can go far beyond what we traditionally consider, the younger you lock them into a policy. Here are just a few.
When you purchase life insurance on your children, you guarantee that they have insurance protection at the very best price – because life insurance is less expensive the younger and the healthier we are. And let’s face it… we were all at our prime when we were younger!
When you buy life insurance for your children when they are young and healthy – no matter what health conditions might develop in the future that might cause your child to have to pay more for the same insurance protection or worse yet, not be able to obtain insurance protection at any price – they already have insurance protection.
Having life insurance is important because it provides a foundation for financial security. Let’s look at what you hope your child will accomplish in life; college, marriage, home ownership, children of their own, owning their own business, funding their own children’s college, and retirement. Life insurance can help with all of these because of the cash value it builds over the years.
When your child is ready for college, a loan can be taken from the cash value to help pay for college expenses. When your child is ready to purchase that first home and needs funds for a down payment, again a loan can be taken from the cash value to do so.