Automate Your Children's Education Goals With These Plans

Mr. Khanna’s daughter Ananya is eight in the year 2018. He is investing in a child plan that will pay for his daughter’s higher studies after 15 years precisely. It is a long time and investing in ULIP can possibly give him better returns.

Mr. Lehri decides to invest in ULIP for another event that may occur. Even if Mr. Lehri falls sick and hospitalized, there will be a plan to look after his daughter’s studies as planned. Nothing will come on the way. This way, ULIP covers the medical treatment in the form of withdrawal and provides a shield of financial freedom when your child needs money to pursue something more significant in life.

Mr. Khanna planned for 15 years of investment in the Child education plan in India. After ten years of the policy term, he died. Now what? Who will take care of Ananya, she is now 18 years old daughter? Well, Mr. Khanna was a person who believed in planning his future and the future of his dependents. The plan that chose had the option of continuing even after this death so that as planned, Ananya’s education plans will continue to protect her educational goals. The Child's Goal will be Taken Care by the Insurer if anything happens to you (instead of choosing a lump sum payout option let the child plan continue, mention the income option).

With ULIP or any child education insurance plan, you have the option of switching from equities to debts when you are about to reach the last few years of maturity. This will minimize the risk involved in remaining invested in equity. Suppose, you invested in a plan for 20 years. You have already paid for the first 17 years and earned more than desired. Now, you know that only three years remain for you to get the maturity benefit. For saving from market volatilities, you can switch to debt funds. If you need help with automating, here’s what you can do.

1. Use Auto Debit Mandate for Regular Investments: With the hectic schedule in office and work, you may miss on paying the premium. If this is a challenge with you, you should choose auto-debit for regular investments so that the plan does not lapse.

2. Automatic Adjustment of Risk As the investment near the maturity: After so many years, you may forget that the maturity is nearing. You can choose to adjust the risk automatically so that you do not have to stress on how to and when to switch from equity to debt fund.

When you know that your child’s education is your concern and you need to protect it from uncertainties which come may in the future, you breathe a deep sigh of relief. Every parent dreams of a better future for their children. Choosing a child insurance plan is a step every parent must take. Paying now at a regular interval to secure your child’s future is the best gift that a parent can gift their child.

By investing in a child plan for your child’s goals, you automate how things are going to be in the future for your family. The worst case is sudden death, and a child plan takes care of that situation too. Without a second thought, one must opt for a child insurance plan. When you add automation of the plan, you give priority to saving for your child without defaulting. For better results, follow the sequence: start saving with a child insurance plan as soon as a child is born and manage your premium with the switching of funds options. Easy and smooth, isn’t it?