I am a 35-year-old man with a monthly income of about Rs40,000. I have already invested in a term plan and now I intend to make provision for my three-year old child. What is the best option?
Rajesh Relan, Managing Director, MetLife says:
You can opt for specific children insurance plans to save money for children’s education and marriage. The benefits under these policies are designed to guarantee targeted savings for the child. So, where conventional forms of savings work only as long as the parent is alive and well, a typical child plan continues the savings plan even in the event of the parent’s death or disability. This ensures that you construct a fail-safe plan for your little stars’ future and help them shine the brightest.
These plans allow withdrawals which coincide with the requirements of the children at different stages of life, be it education, profession or marriage, among others.
There are options under children insurance plans in the market to insure the life of the parent or that of the child. It is advisable to take the option with the life of the parent insured as it can make the child the beneficiary and hence provide protection during the child’s growing years.
A good child plan can be a vehicle to ensure a smooth, guaranteed and risk-free financial future for your little star.
