Benefits of ULIP as a Child Insurance Plan
Close
Close

Buy a life insurance plan in a few clicks

Now you can buy life insurance plans completely online right here.

  • Icon for Kotak Preferred e-Term Plan

    Kotak e-Term Plan

    Kotak e-Term Plan is a pure term plan that provides a high level of protection to your loved ones in your absence.

  • Kotak E-Invest Plan

    Kotak e-Invest is a comprehensive Unit Linked Life Insurance Plan that can be customized as per your goals and needs - be it protection; investment; financial security for child or retirement planning.

  • Icon for Kotak Guaranteed Savings Plan

    Kotak Guaranteed Savings Plan

    Kotak Guaranteed Savings Plan is a savings and protection plan that helps you achieve long-term financial goals and insurance cover against any eventuality.

  • Icon for Kotak Preferred e-Term Plan

    Kotak Lifetime Income Plan

    Kotak Lifetime Income Plan gives you the assurance of your income continuing throughout your life and in your absence throughout the lifetime of your spouse!

  • Icon for Kotak Preferred e-Term Plan

    Kotak Health Shield

    The Kotak Health Shield Plan helps secure your finances in times of sudden medical expenses related to illness such as Cardiac, Liver, Neuro and Cancer (all early and major stages of illness /conditions of Cancer); along with offering protection for Personal Accident - in case of accidental death or disability.

Close

Get a Call

Enter your contact details below and we will get in touch with you at the earliest.

  • Select your Query

Thank you

Our representative will get in touch with you at the earliest.

Back

Benefits of ULIP as a Child Insurance Plan

BUY ULIP PLAN NOW
  • 29th Apr 2022
  • 2,541

Benefits of ULIP as a Child Insurance Plan

With so many investment

possibilities accessible, accumulating assets to guarantee your child’s future may appear to be a daunting task. A ULIP plan (Unit Linked Insurance Plan) outperforms other investments when it comes to saving for financial goals. It is a policy that provides both investment and life insurance, ensuring that your children can pursue their aspirations even if you are not around. ULIPs plan can assist you in building a corpus for your child’s education, allowing them to pursue their goals. The waiver of premium option is available on ULIP-based
kid plans to offer financial security in the case of the policyholder’s untimely death.

Many ULIP investment products take into account parents’ financial ambitions. It is critical to conduct an analysis of the top-performing ULIP funds to guarantee that you select the best plan. Using a ULIP calculator, you may compare child insurance plan and determine if it is a good catch for you or not.

What is ULIP policy?

A ULIP plan is a type of financial instrument that combines investments and life insurance into one package. When you buy ULIP, you must pay premiums on a monthly basis. A portion of the premium is used to provide life insurance coverage, while the rest is invested in funds that are either equity-oriented, debt-oriented or a combination of the two. Policyholders can decide how much and where to invest based on an appraisal of their financial commitments and risk portfolio.

It is best to begin your ULIP plan early in order to maximise your profits. This policy gives you the freedom to choose between funds as and when your financial needs change during your life. Whole life ULIP plans are also available, which are popular for their long-term benefits because the insurance remains active for the remainder of the policyholder’s life.

To avoid unpleasant surprises in the future, conduct the appropriate research, compare policies, analyse long- and short-term financial goals, and evaluate aspects such as ULIP plan prices to ensure that you acquire the best ULIP plan.

Benefits of ULIPs as a Child Insurance Plan

When it comes to saving for your child’s future, you’ll want to make sure you get the best child insurance plans in India. There is a common misperception that the best child life insurance plan is expensive and that it requires a large investment to be effective. However, you do not need to invest a significant sum to maximize your ULIP plan profits; instead, you should begin investing early. Furthermore, having tax-free ULIP returns is another perk that allows you to save more and gain more from your ULIP policy.

ULIPs are the finest child insurance plans in India for your child’s future because of several unique features:

  • Waiver of Premium Benefit
  • In the event of the policyholder’s death, the sum promised is paid to the specified beneficiary, while the insurance company pays the due premium for the remaining policy term.

  • Investment in a Diverse Portfolio
  • ULIPs allow you to diversify your portfolio and maximize your capital appreciation to help your child build a bright future. Furthermore, the ability to swap between funds ensures that you are invested in the best-performing ULIPs. The feature of auto fund rebalancing ensures that your assets are unaffected by market movements by specifying your investing preferences.

  • Corpus for Child’s Education
  • As ULIP plans are specifically created to assist in achieving long-term financial goals, they can assist you in creating a bright and productive future for your child without causing you any stress or financial pressure in the future.

  • Partial Withdrawal
  • If you want to help your child pursue their passion but don’t have enough money, the ULIP savings plan allows you to make a partial withdrawal based on the policy’s terms.

A child life insurance plan is a straightforward traditional investment plan with coverage tailored to a child’s needs. It can be used to protect the life of a parent or even a child, as long as the insurance is tailored to the child’s bright future.

- A Consumer Education Initiative series by Kotak Life

Also read

  • What are the Best Investment Options For Females?

    There are several investment options for women in India. Though some are generic, but a couple of schemes like SSY are solely offered to girls. Learn ...

    Read more
  • What's Better for Your Child's Education? Child Plans or Mutual Funds?

    Child plans in mutual funds give your child the secure financial future they deserve. In this manner, even if you cannot care for your child, they wil...

    Read more
  • 4 Important Tips to Maximize Gains with ULIP Investments

    ULIPs are insurance plans that help you create wealth and secure your future at the same time. Learn how to maximize your gains and profits with ULIP ...

    Read more

Related Plans

  • Kotak Ace Investment

    Kotak Ace Investment

    Kotak Ace Investment Plan is designed with the clear objective of helping you accumulate wealth and provide you adequate life cover.

    Know more
  • Kotak Assured Pension

    Kotak Assured Pension

    Kotak Assured Pension is an annuity plan that promises to pay a regular stream of income on immediate basis or post deferment period for life, ensurin...

    Know more
  • Kotak Assured Return Employee Benefit Plan

    Kotak Assured Return Employee Benefit Plan

    Kotak Assured Return Employee Benefit Plan is an insurance plan designed for Employers /Trusts, Employer – Employee groups who wants experts to mana...

    Know more