How to choose best child plan in India

How to choose best child plan in India

Looking for the best child plan? In India, parents do not buy child plans for their children during their initial years. Hence, they miss out on the power of compounding and the tax-saving benefits of a child insurance plan. A child plan acts as both an insurance as well as an investment. Getting child insurance is a solid step towards your child’s future and is a must for every parent.

How to choose best child plan in India

Various child plans offered by a life insurance company in India offer benefits. It is suggested to explore various child insurance plans and choose the best child plan that suits you.
However, LIC child plans (especially LIC money-back policies) and SBI child plans are the most popular among people. The list of best investment plans for a child is mentioned below:

Best Child Plans in India

  • Lic child career plan
  • LIC Jeevan Ankur
  • HDFC Life Youngstar Udaan- Child
  • Plan Reliance Child Plan
  • Max Life Shiksha Plus Super
  • Bajaj Allianz Young Assure
  • ICICI Pru Smart Kid Assure Plan
  • Birla Sun Life Insurance Vision Star Plan
  • Aviva Young Scholar Advantage Plan.

How to choose the best child plan?

Confused about how to choose the best child plan in India? We have given some tips to you. check them out!

1: Understand your goals

When choosing the best child plan India in  it is important to determine whether you need the policy for a specific reason (like your child’s health or education) or is it more than a normal cover?
It will make it easier for you to choose a child insurance plan for your child.

Apart from this, many insurance companies in India also offer plans that are specially designed to offer attractive benefits keeping in mind the milestones.

So, if you are clear about your needs, you can easily choose the best child plan for you

2: Analyze Your Risk Profile

To choose the best child plan suitable for you, you need to determine the risk profile. If you are willing to take a little risk, then choose a Children Unit Linked Insurance Plan.

They work like normal unit-linked insurance plans or ULIPs and money-linked returns. Make sure to opt for a flexible plan, which enables you to shift your portfolio from equity to debt at any point in time, reducing the risk factor.

However, if you’re looking for a safe investment that offers fixed returns, a traditional. Consider endowment plans for children.

3: Check Out All the Benefits and Chargers of Child Insurance

Another essential thing to know while choosing the best child plan is not only the benefits of a child plan but also all the additional charges that come with them,

For example- if one is buying a ULIP insurance plan for a child, so check thoroughly before choosing the plan as they are covered under several items of ULIP or Unit Linked Insurance Plan. There are various charges.

Hence, you should plan your investments well in advance keeping in mind all the advantages and disadvantages of a child insurance plan.

4: Compare Plans, Premiums, and Companies

The golden rule is to research and do research to select the best child plan. We hear about insurance scams and companies reluctant to settle claims.
It can be avoided if you do your research well. Insurance comparisons also are done online easily. The cheap insurance option may sound good initially, but it is not necessarily the best.

A low premium may be easy in your pocket, but the plan may not be a good fit for you, or the policy may not provide you with the best benefits suitable for you. Hence, choose the best child plan as per your individual needs and preferences.

5: Invest early, save better

Like many other investments, child insurance plans also offer the best returns when started early. Generally, it is suggested by insurance experts to opt for the best child plan within 90 days of the birth of the child
Also, minimum tenure of seven years is suitable for most child plans. It will ensure a good financial corpus for you at the time of maturity.

Conclusion

Ultimately, choosing the best child plan is a step towards securing your child’s future. Don’t make hasty decisions. Take the time to consider all of your options and plans to ensure that your child’s needs are being taken care of.
So do your homework well, and choose the best child plan by following the above tips!

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