Purpose of Online Child Insurance Policies

Entering in the phase of parenthood completely changes the whole outlook towards the future. Fulfilling child’s present and future needs is the top most responsibility for a parent. Parents always want to provide the best possible thing to their children. So, start planning early because it gives a chance to develop a protective future for policyholders’ children.
It is not at all easy to build a secure future for your child as it needs huge investment and efforts to work on the important details right from knowing the objectives to choosing the asset allocation plans. Parents utmost concern is to give their children desired education because of increasing education costs.
Insufficient savings, investing too late and lack of knowledge are some of the reasons main reasons why parents fail to give strong financial support to their children. It is terrifying to consider for any parent to leave his or her family without adequate means to lead life with lots of struggle.
Buying online Child insurance India is the best solution to make a huge financial corpus for a child. Majority of people prefer to buy term insurance instead of a child plan as it provides higher coverage at affordable costs offering lump sum money to the beneficiary. Under life insurance, giving lump sum money ends the plan right there.
But, child insurance doesn’t end like this. Insurance companies in India continue investing this amount on behalf of the insured person waiving off all the remaining premiums. According to policy details, your child will receive the money at mentioned intervals.
Child insurance online takes care of your kid’s needs when you are no more around. Market-linked plans allow policyholders to invest in debt and equities. On the other hand, traditional policies allow debt investment only. Policyholders are eligible for tax deduction under Section 80C and the income from this policy is tax free under Section 10(10D).
Life insurance is affordable and you may think to invest the money in mutual funds rather than paying expensive child insurance premium, then you misses a crucial detail. Only child plan doesn’t let the parent’s demise hinder the investment plan for their children. The policy is designed to fulfill the child’s needs and secure his or her future in your absence.