How much should you invest in a child plan?
Education is the key to a bright future. Regardless of what stream or career your child
chooses, ensuring that they go to a good school and college is your prime responsibility as
a parent. Considering the fact that India is a developing country, the children of today
have a massive role to play in the growth of the nation tomorrow. All of this can be
achieved with a proper education. Not only does education open the realms of a financially
secure life but can also help children develop an open mind and live a more mentally and
physically balanced life.
However, the cost of education can be overbearing in some cases. As per a study conducted in
2019, it was found that the cost of education from primary classes up to post-graduation was
₹ 8,331 for a year for each student. This is only a general estimate that includes all types
of schools and colleges across the country. The fee for private schools and colleges is a
lot more than a public or government one. Professional courses such as engineering,
medicine, and others can be even more expensive. If you combine these costs with inflation,
the final figure will drastically increase further. It is hard to cover these costs with a
limited source of income.
That is why, with a life insurance plan, you can ensure that your child’s future and dreams
are financially secured, even in your absence.
3 Reasons Why A Child Insurance Plan Is Essential
A child is a parent’s greatest joy. Being a good parent is a tremendous task. You worry about
the well-being of your children. You hope that the decisions you make regarding your child
are the right ones. You nurture your children into becoming responsible adults. If
unfortunately something untoward were to happen to you, it is instrumental that you plan for
the prospects of your family. You should equip your family with all the means to lead a
comfortable life. It is better not to underestimate the needs of your family. To foster your
child’s future prudently, it is essential you have a child’s insurance plan.
Here are just
three of the most important reasons why you need a good child insurance plan:
- Educating your child
: Something basic and essential that every child needs is an education. When
it comes to educating your child you should not have to compromise. The further you
educate your child, the better their prospects are. However, the price of education is
on the rise. Private schools and good colleges sometimes cost a great deal of money.
Having a child’s insurance plan can help with the costs of educating your child.
There are simple things like extracurricular activities that your child may partake in.
They may be budding sportsmen and women or young Picassos. You want your child to dream
big and achieve those dreams. Do not let money be a hindrance to your child pursuing
their passions. A child insurance policy will allow you to create a fund that your
children can draw on for their benefit.
- Creating a
corpus : Your child will one
day be married. On such a joyous occasion you will want the celebrations to be
full-fledged. This is not a situation where you want to skimp on spending. It would
be ideal if you were to sponsor all aspects of the ceremonies. If you have a
daughter you must cover expenses like fine jewellery and an exquisite bridal
trousseau. If you have a son you may want to contribute toward the nuptials. You do
not want to find yourself in a situation where you are unable to afford your own
child’s wedding. This is truly a time of elation for your child. Do not let a lack
of money get in the way of your child’s happiness.
Your child may learn how to drive. You may want to surprise you child with a
scooter, motorcycle, or car. It is important you have the means to account for such
expenses. Your child will someday think of buying their own house. This is an
incredibly important purchase and to encourage this kind of independence you may
want to help pay for the property. Creating a corpus for your child is one of the
greatest gifts you can give them. This is one reason a child insurance policies are
indispensable.
- Responsible young ones
: The best thing that you can do for your child is to set a great example
yourself. Children learn by example. Apart from Superman, Spider-Man, Batman, Wonder
Woman and other superheroes, children idolise their parents. Children learn and emulate
the behaviours they see in their parents, and it is important that we remember that they
are impressionable young human beings.
The decisions you make as parents will have a great impact on the kind of people your
children will turn out to be. It is common knowledge that you cannot be rash and
reckless when it comes to your children. Buying an insurance plan for your child is a
very sound decision. When children see you, their parents, using your good judgement,
they too will make good decisions in the future.
The good news is that you can purchase an insurance plan for your child from HDFC Life.
You can build a corpus for your child to draw from and teach your child fiscally
responsible behaviours. The biggest benefit is that once you have a child insurance
plan, you can ease your biggest tensions regarding your child’s life and their future.
Rest assured when you purchase a child insurance plan, you are making one of the best
decisions possible regarding the well-being of your child and the rest of your family.
