Life Insurance for Children

John is a close friend, and because I am in the insurance business, he bounces ideas off me when we get together. He loves talking about his family. John has five grandchildren, with a sixth on the way. All his life, his goal was to provide for his family while trying to give them every opportunity to be successful. 

A few months ago, John’s best friend, who has lived with diabetes, learned that one of his grandchildren was diagnosed with juvenile diabetes. John knew the struggles his friend had to deal with over the years, and now he sees how this could affect his other family members. This situation made him think about his grandchildren and their future.

When I met with John, he expressed his desire to provide something for his grandchildren. He wanted to treat all his grandkids equally but did not want to break the bank. I replied, “What about protecting your grandchildren with life insurance? It is a gift suitable for today, but one that lasts a lifetime.”

There are many forms of juvenile life insurance policies available, and each offers unique benefits. Over coffee, we talked about some factors in considering what is best for each situation:

  • Protection – Would a financial hardship occur if the unexpected happened? 
  • Insurability – Is coverage accessible now, meaning will a person be able to get coverage? 
  • Future Need – How important is obtaining more coverage in the future?

John asked great questions about the process and cost, and the good news is it is simple and affordable: Choose an amount that best fits your needs ($10,000 coverage is standard), answer a few questions, and coverage could be issued as soon as the same day. Many policies also offer a single payment approach that allows grandparents to not burden the family with having to budget every year. For example, one company I recommend, EMC National Life, offers a single premium (one-time payment) policy for as little as $425 per child.

It was difficult, but we talked about if the unimaginable happened. Would John’s family have the necessary funds to cover the cost of a funeral? The grieving process is difficult enough without having to worry about financial struggles. Planning in advance is simply a smart thing to do.

It is also easier to qualify for life insurance when one is younger, and a family history of health issues is something to consider. Health can play a critical factor in one’s future, so guaranteeing opportunities for his grandchildren to obtain more life insurance coverage down the road intrigued John.  

As we finished our coffee, John looked at this solution for his grandchildren as truly a unique gift for them and his family. He appreciated how affordable it would be and how easy it would be to get it done. My friend was grateful for the conversation, and we scheduled an appointment to get this done for his family. 

Do you have a grandchild or child that Farmers Union Agency can help with this solution? Let’s communicate.

Shapiro is the Director of Sales, Health, and Life for Farmers Union Agency. Contact us today at (800) 229-1064 or to find an experienced FUA agent near you.

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