No parent wants their child to be without a solid financial foundation. From opening a savings account in your child’s name to starting a college fund. If you’re a parent, you may have ticked all the boxes to ensure your child’s future. But did you know that juvenile life insurance can also be helpful?
It’s no surprise if this financial tool isn’t top of mind. After all, why would a healthy child need insurance? And since we all want our children to live a long, healthy life, this type of insurance isn’t a priority.
But the truth is there’s more to juvenile life insurance than just death benefits. In fact, it offers plenty of advantages that could benefit your child – including a college fund.
Guaranteed insurance
Being young and healthy, children are easy to insure and enjoy lower premiums. In contrast, adults may already have health issues that make their insurance coverage more challenging and costlier. And even if children develop health conditions later in life like asthma, diabetes, or cancer, they already have the financial protection and peace of mind thanks to their juvenile life insurance.
Affordable premium
Buying insurance later in life would mean paying higher premiums. But with juvenile life insurance, the premium is lower. What’s more, the policy cost remains the same throughout your child’s life; protected from rate increases corresponding with age or health overtime. This means a less expensive policy for the same coverage as your child gets older.
Cash value component
Juvenile life insurance builds cash value over the life of the policy. As it accumulates a sizable amount, your child can tap into this investment for his or her college fund, pay off debt, buy their own house or even supplement their retirement income in years to come.
Coverage for life
Juvenile life insurance guarantees lifetime coverage as long as premiums are paid, and the contract retains its value. The financial protection it provides is a gift your adult child will appreciate later in life. In fact, it’s a gift that keeps on giving: the payout from the policy may benefit even your child’s children and grandchildren.
If you want to know more about giving your child this legacy, get in touch with Mercado Global’s insurance agents. We’ll be happy to assist you with the information you need.
