Does your child need life insurance?
Life insurance can be a superb investment for a parent or breadwinner, but lately, we’ve been bombarded with offers to insure children. If you have a young child, you may consider taking the plunge and beginning a life insurance plan for him, but experts say that kids do not need life insurance.
There are a lot of things you can do with the money you pay towards monthly premiums, so consider whether a child’s life insurance plan is a good investment. Your bundle of joy may bring your life value, but if she’s not contributing to the family budget, then you can invest in far better and profit-bearing endeavors.
Begin by righting your own finances, building a stable and secure financial picture for your family. Open up an IRA, get out of debt, or open the savings account of your choice - whatever you do, start building up a healthy nest egg. If you don’t have life insurance already, considering taking out a policy. After all, your income is what supports your children. Finally, when you’ve accomplished these challenging feats, think about starting a college fund for you kids. A good education is the best investment in their future, and starting your savings early will open up the options.
There are plenty of ways to invest in your children’s future, but life insurance isn’t at the top of the list. Save you money to invest elsewhere, and your kids will reap the rewards a few years down the road.
photo credit: sxc.hu
Tags: children | Insurance | Kids and Family
This entry was posted on Monday, March 3rd, 2008 at 5:49 am and is filed under Kids and Family. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.
