An image of a silhouette of a mother holding her child with a sunset in the background. life insurance for children

Should you buy life insurance for your children?

Having a life insurance policy in place is something that each adult should consider. Life insurance is a safety net that ensures that your loved ones wouldn’t face unexpected financial difficulties if the unthinkable happens to you.

The recent pandemic has highlighted that it is best to be well prepared for every outcome. Having this in mind, taking out life insurance for your children is an option that should be on the top of your priorities.

Why should your children have life insurance?

Many reasons that underpin the need for your children to have life insurance. A life insurance policy that has started at young age is a good foundation for future policies, helping reduce costs etc. In this article, you will have the opportunity to learn some of these reasons and realise that insuring your kids could be very useful.


Perhaps it is the first time you read this word. Looking up the word in the dictionary, the definition is “acceptability to the insurer of an applicant for insurance at a given rate.” A life insurance policy for your child guarantees that they would have coverage even if some health problem comes up in the future.

Sometimes insurance companies do not insure adults that have health problems. There are cases that adults with hazardous professions are not eligible to take out a life insurance policy. The majority of children are healthy, which means that if they develop a health condition later, they won’t lose their life insurance coverage.

Lower premiums

Although a life insurance policy is considered a safety net, some people neglect to take out one because of the costs. However, adults, especially parents, should be prepared for the unexpected. They have to include such costs in their financial plans. For children, premiums are based on age and health.

So, now would be an excellent moment to insure your children as rates would increase as they grow up. As firms consider children low-risk cases, premiums can be low. Some insurance companies even give you the right to lock the childhood rate, allowing your child to continue paying the same premium even when it reaches adulthood.

Building a financial future for your children

A whole life insurance policy for your children can earn cash value. In the future, your children could use some of the money to cover their college tuition fees, buy their first car or travel. While building cash value isn’t the first reason for purchasing life insurance for your children, it could be an extra benefit in the future.

As a parent, you should study carefully the terms and conditions of the life insurance policy you would like to buy. This would help you avoid penalties or other unfortunate situations that could weigh on your available budget. A qualified financial adviser can help you find the right policy for your children and avoid any potential mistakes.

Questions about insurance? Ask Holborn

Insuring your children is one of the most important decisions you will have to make regarding their future. A life insurance policy for your children comes with many benefits at a low cost. Holborn’s advisers are fully qualified to help you choose the policy that fits your plans and budget. Get in touch with us today for a consultation and secure your children’s future.

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