Financial planning for family

Top Reasons to Buy a Child Education Insurance Plan

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Your kids have dreams. They will start planning a great future and might want to conquer the whole world. And all you have to do is to make sure they keep doing what they want to do. But without quality education, there is no bright future. You must buy a child education plan right away because of:

High Cost of Education:

You already know how expensive it is to live and educate yourself. Education will be even more expensive in the future. From school picnics, fancy dress competitions, sports equipment to exorbitantly high tuition fees in school and colleges, you have to be ready to pay huge amounts for your child’s growth.

Get More For Small And Regular Investments:

By investing an amount of money regularly, your investments compound into a handsome sum in the future. This corpus would reduce the financial burden and take off the worry about making timely fee payments for your child’s university degree.

Avoid Loans:

The most common way to arrange funds for expensive degrees is an educational loan. If you’re a young parent, you might yourself be paying your education loans right now. Why take up additional liability? That is the time when your savings that you started doing today will help you the most.

Investment and protection:

Through an endowment plan for child education, you get the dual benefits of insurance and investments. By adding a waiver of premium rider, no future premiums need to be paid in your absence. Even if something were to happen to you, your child’s dreams would not be stopped. It will help you in keeping the promise intact. Your children can go to whichever country and opt for whatever course they want.

Tax Benefits:

You also get tax benefits with a child insurance plan. The premium is deductible under section 80(C) and the maturity amount is exempt from tax; unlike fixed deposits or equity shares which attract a long-term capital gains tax.

Take right steps at right time, be the parent who is prepared for the future. Invest in the right plans that help in securing your child’s future, in your presence and even in your absence.

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