The ideal child education plan and insurance
A child’s future is the prime concern for the parents and all parents want to provide the best opportunities to their child at all costs. Providing the best possible education to the child is very parent’s desire and every parent wants her/his child to grow up and fulfill every dream in life. Now, education in India is a very core filed that witnesses the impacts of inflation over the years. The costs of higher education in India have already sky rocketed and the trend will continue for the years to come. As such, it is the prime responsibility of every parent to ensure that sufficient funds are in place to cover the costs of education for their child. This is where an ideal child education plan can come to your aid.
In the highly competitive and fast paced world of today, you obviously want your child to receive the best of careers, for which, the child has to be educated in the best manner possible. Today, the definition of education is no longer limited to bookish knowledge and getting a degree. Education has become skill oriented and therefore, along with the main schooling, college and university courses, additional trainings and curricula have become mandatory. This has further increased the financial burden on the parents and has made it essential to have an extensively beneficial education plan for the child in place. Different insurers today offer child education plans with varied and diverse benefits and incorporated features. Therefore, a comprehensive comparison of the different plans on offer is very important for you to choose the best option. An ideal child education plan is the one that suits your specific needs and comes with features that provide the best deal for you.
An ideal child education plan comes with various features which must be taken into account before opting for it. These features include the coverage benefits, the amount of payable premiums, any additional benefits, and the option where the premiums can be waived off (in the event of the policy subscriber’s demise) etc. Generally speaking, different insurers incorporate these features into the child education plans and therefore, conducting an online survey and matching of these features with your projected plans is very essential. A child education plan can be either endowment-linked or unit linked. Both these types of insurance plans have their individual benefits and features.
A unit linked child plan must be chosen carefully, as the returns are market linked and the investment instruments are subject to the fund’s performance. Although as policy holder, you can switch between various fund options, yet the level of market risk involved is higher than that in endowment linked child plans and the benefits vary accordingly. While choosing a child education plan, it is important for you to understand the importance of taking a timely decision as this directly impacts the coverage benefits, payable premiums etc. Taking a timely decision for your child’s future allows you to have a sufficient corpus in place by the time your child is ready for college or university.