Should You Buy Life Insurance for Children?
No parent wants to think about the death of their child. However, buying life insurance for your children has many benefits that can help them throughout their lives. Here are some reasons to buy a life insurance policy for your child.
Life Insurance for Financial Protection
At a time of indescribable grief, the last thing you need is added financial stress. Funeral costs alone in Nova Scotia are, on average, more than $10,000. Life insurance is a security against costs associated with their death.
Plus, the trauma associated with losing a child may impact your ability to earn a living. You’ll need to take time off work to grieve, which your employer may not necessarily cover. You may need grief counselling to get through the experience. Buying a life insurance policy for your children can cover funeral costs and provide the time and resources you need.
If you buy a life insurance policy for your children now while they’re healthy, they may be protected for the rest of their lives. For instance, your child may be diagnosed with a critical illness later in life, making them ineligible for life insurance. With a policy already in their name, they’ll be protected regardless of health later in life. If you have a family history of illness, you may want to insure your children now.
Moreover, you can lock in lower premiums when your children are young and in good health, and your children will benefit from having affordable life insurance policies into adulthood.
Some life insurance policies allow the holder to claim the policy’s cash value or take out a loan on the policy’s accrued cash value. Your children can use the value in the policy to pay for tuition or a down payment on their first home.
Furthermore, consider living benefits insurance for your children, as these policies provide financial support in critical illness, accident or disability. Unlike traditional life insurance policies, living benefits insurance provides benefits while the policyholder is still alive. Adding living benefits insurance to the policy will provide extra protection.
Contact a Life Insurance Broker in Halifax
At Eisenhauer Insurance Inc., our experienced life insurance brokers can help you find a policy that protects your family and ensures your children are taken care of. We can also help you find living benefits insurance in case of illness or disability. Contact us today in Halifax or Dartmouth for a no-pressure, no-obligation consultation.