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  • Writer's pictureAneisha LeMonier

Is Your Child Along for the Ride?


Life Insurance and Child Riders

When a parent purchases a life insurance policy, there are various "riders" (other endorsements available to expand coverages) that will be available to them to select. One of those is called a Child Rider. Some people think it may be morbid, or odd, to purchase life insurance for a child, or their children, but there are so many benefits that one SHOULD choose this rider.


The only qualification for this add-on is your child must be between 15 days and 18 years old, and the coverage will last until their 25th birthday or the parent's 65th birthday. Whichever comes first.


The first benefit is your child is a guaranteed permanent life policy of their own. The child, once added to the rider, will be able to covert the rider to a permanent policy once they reach the conversion date. It also does not matter if you have one child, or eight (like my step-daughter), they are all covered for the one economical flat fee.


Secondly regardless of the child's health status, they may convert the rider to a permanent policy. This is called guaranteed insurability. So, if the child develops some illness (diabetes, cancer, tumors, auto immune disorders, etc.) the child's ability to be insurable and covert this policy is guaranteed, regardless of their current health status. This is a great feature knowing this is the protection for about twenty five cents a day, and covering all children named/listed on the rider.


Thirdly, when the child gets married, the rider will still be in effect until the conversion date on the policy. So, if your child gets married at 19, they will still be covered until the convert the policy to a permanent one of their own.


The last benefit is if the worst scenario happened, the benefit would be a pay out in one lump sum that would be tax-free to help with funeral expenses and other needs that may arise from an unexpected death.


Let's recap the benefits:

  • One flat fee covers all (multiple) children, including future kids

  • Protects the children to ensure their insurability regardless of their health status

  • Guaranteed to covert to a permanent policy, and doesn't require a medial exam

  • Remains active even if the child gets married while they are enrolled

  • If the worse case happens, the benefit would be paid out in a lump sum and is tax-free

When it comes to protecting children, every parent is different. However, one thing that all parents should do is add a child rider to their life insurance policy. These come with future protective benefits, and the rider ensures there is a policy in the event of something happening and your children are protected. All because you chose to let your children "ride" with you on your life insurance policy. You do have a personal life insurance policy don't you?

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