Should I Consider a Juvenile Life Insurance on My Child?
May 10, 2010
Jamie Fleischner

Jamie Fleischner

10 May, 2010

Life insurance for your child is a gift in their future. The main purpose of purchasing a life insurance policy for a child is not the death benefit. It is to protect their insurability.

Several years ago I helped some clients purchase a life insurance policy on their healthy, newborn son.  It was a relatively small policy for $100,000 death benefit and a premium of $30/month. At the age of 7, he was diagnosed with Type 1 diabetes. As a result, this child will have a difficult purchase a policy in adulthood without paying substantially higher premiums. However, the policy has future purchase options which will allow him to purchase additional death benefit amount without any medical questions at certain ages (18, 21, 25, 28, 30) or at a life event (marriage, birth of a child).

Juvenile policies tend to be significantly less expensive than adult policies and there is very little medical underwriting. Therefore, it can make a special gift, especially if there is an adverse change in health. Furthermore, the policy accumulates cash on a tax favored basis that is available to the child at a later date.

For more information about juvenile life insurance, contact Set for Life Insurance today!

Related Posts

Can A Disability Insurance Broker Help Me with My Claim?

Can A Disability Insurance Broker Help Me with My Claim?

Disability insurance claims Recently a potential client contacted me and asked me if I could help assist them in the future if they encountered a disability insurance claim. I explained to them how it worked. Brokers can listen to their clients and direct them to the...

We’re here to help

Getting the right disability insurance can be downright confusing. At Set For Life, we’ll help you understand the options and work with you to select just the right product for you and your family. These articles will help you understand some of the complexities involved, but we’re happy to walk you through it! If you’re ready to get set, reach out for a quote today!