Baby Insurance is a great and affordable way to prepare your child's financial future. Parents think about their new bundle of joy. Parents think about all of the harms that may come to them and joys they will eventually bring to this world. Parents also question, "Will they be safe at night, is that a good toy, is he learning up to grade level?" Who is she bringing home for a first date? Did he get into the right college for him? We think about all of these things. How often do Parents think about protecting their children by giving them a financial head start?
Baby life gives your child a financial head start in an affordable way. Most parents say, life insurance, how can that help my child? "Isn't life insurance for dead people?" No, it is not. Life insurance is for the living.
In order to understand baby life, and insurance in general, you have to understand why it evolved in the West. Insurance evolved to protect shipping cargo coming from the East Indies. A group of investors would pool their resources together and "underwrite" their name on the ships manifest saying they would invest in a portion of the cargo, therefore protecting themselves from all the risk. They were in effect sharing a financial risk of the voyage and gaining financially when they voyage was successful. If we think about baby life insurance as insurance on your child's life cargo, his or her creative potential, you can start to see, feel and understand the ways life insurance can be used in life, not death.
Baby life is a way to have someone else share in the financial risk of your child's voyage. The next question of course is, "How can purchasing a baby or children's life insurance plan protect my child's future?" Children and baby life insurance plans are usually exceptionally affordable whole life policies. The best and unique thing about about these and other whole life policies is they build up what is called a cash value accumulation. This cash value accumulation is the financial vehicle you are using to help your children get a financial head start in life.
If you believe something is better than nothing than what I am about to say will make sense, dollars and sense. This cash value can be borrowed against when you need it. When you buy only a $100,000 insurance policy for you child today, in twenty years you have built them a nice chunk of cash they can use and or borrow against without having to get a banks approval letter to start a family or business. The best part most youth insurance policies is, you do not have to give it to them until they are twenty five; which is about the time most youngster have finally settled down.
Most people agree if they had a chunk of change to buy their first house they would have been eternally grateful to their parents. When we think about baby life insurance as a financial instrument for life your children can use to get ahead of the crowds in life, baby and children's life policies begin to make sense.
