Protect you children with inexpensive term insurance Is term insurance a good idea for children? As a parent, you know how important it is to have enough life insurance in place on yourselves, so that your children would be taken care of, should something happen to that in mind, I don’t want you to even consider buying life insurance on your kids, unless you have adequate life coverage yourself. So, assuming that you and your spouse are adequately insured, let’s talk about life insurance on your children. You have 3 different options in insuring your kids, and I will explore and explain all of them below: Child Term Rider – a very inexpensive way to insure children, but it...
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Life Insurance for Children: Pros and Cons of Buying One You probably heard from an insurance agent that you need to buy life insurance for your child. Getting life insurance for your kids has advantages and disadvantages. It’s a topic that’s often discussed among financial advisors, and I’d like to share some of my thoughts about it. Read on and learn about the pros and cons of getting life insurance for children Buying life insurance for children has become a debated issue in financial circles. Those who are for it assure parents and grandparents that thinking of coverage is a wise thing to do. They say that it improves children’s insurability and the chance to buy...
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I have been receiving requests from parents of minor children looking for life insurance protection for their children who have congenital heart defects. A recent request was for a 3 month old baby. I understand their concern but unfortunately, many of the no medical life insurance products do not start until age 18. That said, there are ways to insure young children who have preexisting health conditions and fall into the “hard to insure” category. In some cases they may already be covered. If you or your spouse has a group benefit plan at work, check the benefits booklet and see if there is “dependant life” coverage included in the plan. Many plans offer a life...
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A reader, Arlene, recently asked a question in my article “ investing on behalf of kids ” about obtaining “Whole Life Insurance” for their young children. A financial planner suggested that obtaining permanent insurance for their children is a good idea to invest in their future. Hello! A financial planner thinks it’s a good idea to get whole life insurance policies for our three children, each $100,000 policies. Is this a good idea? I know this doesn’t necessary pertain to their education future however it is still in regards to their future and I’m really struggling to know if this is a good path to take. We will be paying $1500/yr per child for twenty years....
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A couple years ago, my partner and I had extra cash laying around and purchased a critical illness and life insurance policy for our kiddo (he was 2 at the time, now 3.5). The two policies together are roughly $2K/year. They're through Canada Life The critical illness policy is roughly $600/year and would pay out $100K if our kiddo was diagnosed with a number of things or severely injured. The term goes until he is 25, at which time we'll receive 100% of the premiums back and he can chose to convert it into an adult critical illness policy with no declarations needed. The life insurance policy is also roughly $1200/yr and would pay out $100K a year if our kiddo passed. Premium...
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Children are most fragile because for fulfilling their needs they are dependent on their family which is why their security matters more than any other member of the family, especially financially. For this purpose you must get them insured. These days with increased knowledge and understanding people are opting to get their children insured at very early stage which is also best for the children. You can find a lot of insurance companies but don’t let them intimidate and convince you into buying them until you get a high level of trust. Make a proper research about all the available insurance plans and which benefits are more beneficial for your child, his future and dreams. Parents dream...
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What is the application process? The process can take several weeks. Be aware - it's quite lengthy and personal. This person verifies information you provided during the quoting process. You'll also answer additional questions about your needs and confirm that the quote you selected is best for you. Afterwards, you'll usually be sent paperwork that you have to fill out and sign to verify your intent. Many insurance companies require a medical exam to verify the information you gave about your health is accurate. Record your medical history. Do a simple blood test to test for diseases, drug use, cholesterol and glucose levels, etc. Once complete, the information will be sent to the insurer....
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The Federal Child Support Guidelines: Step-by-Step About the Child Support Tool You can use this Child Support Tool to: keep a record of your findings and decisions as you go through Steps 1 to 8 of this guide; and help you determine what information to include in your agreement. The tool provides several examples based on information that courts must include in support orders issued under the Federal Guidelines. It also provides examples based on situations that you may want to address. The tool may not cover all the issues you want to address in your child support agreement. Some examples may not apply to you. It is simply meant to help guide your thinking and discussions. The important...
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Life insurance for children is often a hot topic on both sides of the argument. Should you consider purchasing a life insurance policy for your children? If so, what type of insurance should you purchase? Should you purchase life insurance for your children? The answer to that is dependent on why you are considering this. If you are considering this because it’s a sound financial decision in terms of premiums vs. death benefit, the numbers likely won’t work out. The technically correct answer is that children do not have financial dependents so there’s no one depending on them financially should they pass and thus no real need for life insurance. However there are a number...
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There is a serious ongoing debate about whether or not it is appropriate or necessary to buy life insurance policies for children, and if there is any benefit to the purchase. Parents who would buy life coverage for their children do so because they feel that they are helpful financial tools that play an important role as a part of a larger savings and investment portfolio. However, others would say that for the majority of families, buying a life insurance policy for someone that young is typically wasteful, since it will rarely replace the income that was lost. A strong view is against buying a life insurance policy or a child, because the real reason for life insurance is for replacing...
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