Why Your Children Need to be insured This April and May?

As the education cost is going higher with time, your worries too reach the peak when it comes to your child. You worry about their career, health, education and every other major stage of their life. Particularly during summers, children are at higher risk for any infection. It is hard to stop kids from going out and playing in the sun, having ice cold water or ice cream making them more prone to diseases and infections.

Exposure to the sun and the heat outside can lead to dehydration, diarrhea and other problems. Thus, April and May is the right time to invest in insurance that is made to protect your child. When you sort out the financial expenses for your child, you will feel relaxed.

What is Child Plan?

This is the investment cum insurance plan that secures the child’s future financially and finance the major points of his or her life such as education, career, and marriage etc. the best child plan protects your child’s future in case of unfortunate death of the policy holder and at the same time build corpus to be utilized to finance the major moments of his or her life.

Child Plans Available in India

Child Plans  Entry age Maximum Maturity age Minimum Annual Premium Minimum Sum assured
Bajaj Allianz Young Assure 18 – 50 years  60 years N/A 10 times Annualized premium
Birla Sun Life Insurance Vision Star Plus 18 – 55years 75 years N/A Rs. 1.00,000
Max Life Shiksha Life Super 21 – 50 years 65 years Rs. 25000/- Rs. 50000/-
ICICI Pru Smart kid Assure plan 20 – 60 years 75 years Rs. 15000/-

 

5times the annual premium
Aegon Life EduCare Advantage Insurance Plan 20 – 60 years 75 years N/A Rs. 100000/-
MetLife Smart Child Plan 18 – 55 years N/A Rs. 18000/- 10 times annual premium
Shriram New Shrividya Plan 18 50 years 70 years N/A Rs. 100000/-
Bharti AXA Life Child Advantage Plan 18 – 55 years 65 years N/A Rs. 25000/-
HDFC SL YoungStar Super Premium 30 – 60 years 75 years Rs. 24000/- Subject to underwriting
Exide Life MeraAshirvaad Plan 21 – 50 years 65 years N/A Rs. 3.5 Lakhs
SBI Life Smart champ Insurance Plan 21 – 50 years 70 years Rs. 6000/- Rs. 1 lakhs
Edelweiss Tokio Life Edu Save Plan 18 – 45 years 60 years Rs. 6968/- Rs.225000/-

Types of Child Health Insurance-

You can either choose individual health insurance policy or a family floater plan. They both have their own advantages on the basis of finances, conveniences etc. Here is your guide to select a plan that suits your needs.

  1. Family Floater Health Insurance Plans-

These plans are customized for families. These plans have some features of individual plans with additional benefit of health coverage for the entire family. It can cover 15 different kinds of relationships.

The entire family is covered for a fixed sum assured. This can be used for an individual or sum total for treatment of one person. During the tenure of the policy multiple claims are available. But as it is a scheme for entire family, the premiums are slightly higher.

Benefits of Family Floater Health Insurance Plan

  • It is an easy way to ensure that your entire family is covered and protected. You do not have to keep a look at separate premiums for everyone.
  • Along with incentives, special discounts too are available. The younger your kid, the lower premiums you get to pay.
  • You can easily add more new family members to the plan. Your grandchildren too can be made a part of this plan. In your absence, your children can continue with the family floater plan.
  • For up to 2 years, you get continuous policy cover. And during this period there will be no increase in premium.
  • Additional features like maternity and new born baby cover are also available.
  • According to section 80D of Income Tax Act, a maximum of Rs. 25,000 can be availed as tax rebate. For senior citizens it can be up to Rs. 30,000.
  1. Individual Health Insurance Plan-

This provides coverage against a variety of illnesses with the benefits if cashless hospitalization and many other additional features. The policy only covers your child. Considering fewer risks of payments and claims, this is a financial gain situation as this has very low premiums for children.

Benefits of Individual Health Insurance Plan-

  • Your child will have a separate insurance policy as comprehensive coverage is provided including cashless benefits.
  • There is No Claim Bonus facility. If there is no claim for a particular time period, discounts in premiums or increase in sum assured is given.
  • Ambulance cover, medical check-ups etc. are taken care of.

Conclusion-

The earlier you get insurance for your child, the more you are going to save. When you buy insurance for them at an early age, it helps them in the longer run even if they do not claim it. As a parent it is your responsibility to ensure that your child is protected financially and covered under a good health insurance plan.