Every parent or guardian wants what is best for our children. Sometimes children’s needs come with additional costs besides the normal necessities such as shelter, education, food and healthcare. One of these additional needs are that of insurance policies. As adults we tend to have a lot of our properties and ourselves insured to put our minds at ease in the case of anything unforeseen happening; the same concerns should be applied to the children under our care.
Why Should Our Children Be Insured?
When it comes to the topic of getting insurance, we tend to ask ourselves “Why…?”. We would weigh the Pros and Cons of getting said insurance in the first place before making any form of payment due to the prices of Insurance being quite costly. Unfortunately, there are a huge portion of children that are not given any form of insurance policies in Malaysia. The price of how much insurance would cost should not be at the forefront of the minds of parents and guardians when we buy insurance policy for children Malaysia.
Understanding that our children’s well being is worth any amount of money because of the benefits that necessities such as insurance brings in the long run is a crucial thought that parents must have. Despite the reality that many Malaysians do not put their children’s life insurance in their financial planning, we should still advise our family members and loved ones that have children of their own to purchase insurance policies for their children.
What kind of Insurance Policies should children have?
Two of the most essential Insurance Policies that children should have are Medical Insurance and Education Insurance.
Medical Insurance is a standalone package where it usually does not have any coverage for life and savings modules. This means that children would only get the fundamental medical coverage such as hospitalization benefits. These plans are usually more affordable for parents and could be bought through cheaper plans given by the providers.
Education Insurance is also one of the fundamental benefits that should be provided to a child because it would ensure that your savings are protected and thus ensure that the future of your child is secured. This kind of insurance policy helps put our minds as parents at ease so that we do not need to worry too much about any money allocations in our financial plans for our child’s future education.
Identifying A Good Insurance Plan
For Medical Insurance for children, a medical card is provided. An example of a good feature in a Medical Insurance is that it gives a Full Tax Refund. Parents that purchase this plan could get their money back during the submission of their taxes which is also in addition to any life insurance that was purchased. Besides that, the cost is affordable because medical cards are a standalone plan which does not cover any life benefits for death as they do not have any responsibility to pay any loans or rent at a young age.
For Education Insurance, a good feature to look for is the guaranteed sum and growth potential. Good education insurance would have a good balance of both endowment and investment-linked policies. These tend to also give you education benefits and long-term growth potentials in the long run. Education insurances should also have a flexible payment system to give more convenience to the parents. Be it a multi-package deal or a multi-platform compatible payment.