Child plans essentially cover the risk of death of a parent or critical illness, in which case no premiums have to be paid and a lumpsum is given to the nominee, which is normally the child. Here are 4 child plans that parents could consider for the security of their child. Investors should seek professional help before investing in these plans and we are only highlighting key features of some of the available plans.
A decent plan with covers most features
The save benefit scheme under HDFC SL YoungStar Super Premium will provide for money in case of unfortunate death of the parent or a critical illness. The sum assured is paid to the beneficiary (child) and no need to pay any further premiums as HDFC Standard Life will pay 100 per cent of the future premiums. Also, on maturity, fund value is paid to the beneficiary.
Meeting the educational needs of children
This plan is specially designed to meet the educational and other needs of growing children. It provides risk cover on the life of child not only during the policy term but also during the extended term (i.e. 7 years after the expiry of policy term). A number of survival benefits are payable on surviving by the life assured to the end of the specified duration.
Meeting tution fee upto Class XII
Aviva Young Scholar Secure provides tuition fee support which are guaranteed annual payouts starting at the end of premium paying term and thereafter every year up to age 17 years of your child. This may help a child in meeting tuition expenses upto Class XII. The scheme also provides College Admission Fund and investors will receive a lump sum amount that can be utilized at the time of college admission, when the child turns 18 years.
Most of the features of Child Plan available
This plan builds up savings for your child's higher education steadily. It helps to secure the future of the child's education in the unfortunate even of death of the parent.