After being a parent, one should start planning for one's financial responsibilities so that they fall in place in due course of time.

Health and education play a vital part, without fail it should be considered before buying any plan for child.

There are many child plans which cover the investment and insurance part. One should be very careful and should consider various aspects like inflation rate, the cost of education and medical before buying a policy.

Things may get ugly when you are no longer around and your child education or financial stability is hampered. One good aspect of a child plan is the insurance provided, which will play a role in case you are not around.

So, better to be prepared and make a smart decisions and make your children proud even after you leave.

Here are few plans which you can consider:

1) SBI Life - Smart Scholar

A flexible and all-encompassing solution: SBI Life - Smart Scholar, is a non-participating Unit Linked Insurance Plan. The scheme secures your child's future by participating in the financial markets and also coupled with insurance

In case you are not around:

• Payment of base Sum Assured and
• Accident Benefit which includes Accidental Death benefit and Accidental Total and Permanent Disability (Accidental TPD) benefit, is an integral part of the plan.
• Enhanced investment opportunity through 7 varied fund options
• Twin benefits of market linked return & insurance benefit

Death Benefit

In the event of unfortunate death of the life assured, a lump sum benefit equal to higher of the Sum Assured or 105% of all premiums paid till date of death will be payable.

The company continue's to pay your future premium(s) on your behalf (inbuilt Premium Payor Waiver Benefit) and the accumulated fund value will be paid at maturity

2) HDFC SL YoungStar Super Premium

HDFC SL YoungStar Super Premium is unit linked insurance plans to finance your child's education, marriage, house or car.

This scheme is designed such that it will accumulate savings for your child's future, even in your absence.

Flexibility to choose from 4 funds to suit your risk appetite:

• Income Fund: Higher potential returns due to higher duration and credit exposure.
• Balanced Fund: Dynamic equity exposure to enhance the returns while the debt allocation reduces the volatility.
• Blue chip Fund: Investments in large cap equities.
• Opportunities Fund: Investments in mid-cap equities.

In case of death

Sum Assured is paid to the beneficiary (child). No need to pay further premiums as we will pay 50% of the future premiums towards the policy and 50% of the premiums to the beneficiary on the premium due date. On maturity, fund value is paid to the beneficiary

3) ICICI Pru SmartKid Regular Premium

ICICI Pru SmartKid Regular Premium is a participating endowment regular premium, traditional plan with two options to receive guaranteed educational benefits, no matter what the uncertainties in your life.

ICICI serves to address the need for finance for child's education. This plan offers you the option of a regular premium payment method, enabling you to spread the financial outlay of premium payments over the term of the policy

In the unfortunate event of the death of the parent:

• The Sum Assured would be paid out immediately.
• Future premiums till maturity will be waived off and the premiums would be paid by the Company till maturity of the policy.
• The policy benefits continue for your child's educational and developmental needs as planned by you.

4) LIC Child Career plan

This plan is suitable for those people who already are covered with life insurance on their name and want to take insurance on their kids name.

The money will come in installment, but the maximum amount will come at the age of 18yrs of the kid and rest in small installments.

Best Plan to meet the expenses during higher education like graduation and post graduation.

5) LIC's New Children Money Back Plan

This plan is a non-linked money back plan, which would eventually enable to meet the child's multiple financial needs including education, marriage, further studies abroad etc.

The plan also has a survival benefit like most other plans from Life Insurance Corporation.

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