Know The Details Of Best Child Plans In India Before Adopting One

Policyuncle.com serves the best child plan options that are oriented towards securing a financially sound future of your child so that he/she can carry forward his/her dream academic ambitions and choices. Child plans have become popular in the current age whereby the academics has gained financial quotients and it has become difficult for the parents to arrange the substantial corpus all of sudden.

Therefore most of the educated parents, being aware of the higher educational needs of their child in future, have been trying to secure financial viability through resonant child plans. Such plans are designed as insurance schemes and result into the accumulation of a corpus that can be leveraged for, at the correct time to ensure quality and continuity in child academic life.

So why let the turning points of your child’s academic life to turn out as negative. Get the best child

plan information on policyuncle.com!

How do Child Plans work?

Child plans are secured in the earlier ages when the age of child is around 4 years. This allows for a

greater period to pay premiums and builds a substantial corpus at the disposal in child’s future. The

premiums that you pay for your child are parked either in the debts or the equity instruments as

investment and keep on building into a corpus which is generally availed from the age of 18 years

onwards. The child plans are designed so as to take into account the prospective inflationary

projections, especially as for the higher educational needs of the child in future!

Policyuncle.com offers most rational calculations as for meeting the financial academic demands of

your child.

Types of Child Plans

The types of child plans depend upon the nature of instrument wherein your premiums will be

parked as investment. There are basically two types –

1. Endowment plans: in this type, your premiums flows into the debt instruments that are

available in the market – Indian or international; depending upon the insurer firm

orientation. The nature of the debt instruments is at the sole discretion of the insurer and at

the maturity, a bonus amount is paid as returns.

2. Stock plans or ULIPs: in this type of child plan, your premiums flow into equity instruments

in addition to the debts. It is a market oriented plan and includes the greater volatility

quotients as far as the returns are concerned.

Main Features and Flexibilities that a Child Plan offers –

Features of Child Investment Plans are more or less same as that of a life insurance product. The

distinguishing component is the maturity benefits that are availed by the beneficiary child in the

form of a substantial corpus at the 18+ ages. Most of the child plans that are being marketed in India

have the following feature and flexibilities parameters –

1. Sum assured: this is determined by the prospective calculations that you have made for the

academic needs of your child. You should never shy of great ambitions!

2. Premium amount: it is dependent upon the sum assured in the child plan.

3. Policy term: the ideal time of availing child plan benefits is the age of 18 years when the

higher education needs begin to manifest. You can choose a plan for a suitable period

depending upon the age of your child.

4. Mode of premium payment: there can be regular or single payment.

5. Maturity benefits: these are available as one time benefit at the end of the child plan or at 5

years interval.

6. Partial withdrawals: most of the insurance firms provide for partial withdrawals before the

end term.

7. Additional benefits: these range from premium waiver, accident benefits or critical illness

benefits for the child and differ from the firm to firm.

[Source: https://www.bajajallianz.com/Corp/child-insurance-plans/child-insurance-plans.jsp]