Life Insurance on Children? Take the Positive Side.
Here is a thought-provoking article on the topic from the folks at Fools.com (whom I like, by the way). I just do not agree with it. But, it does touch on the VERY SENSITIVE issue of child mortality. This is not a topic ANYONE wants to dwell on, but something that many parents tragically deal with.
At the same time, there are two other important considerations here:
One is to protect the future insurability of your child. A policy on an infant or toddler has a very low premium. If he or she matures and unfortunately is diagnosed with a serious medical condition, or takes on an adventurous hobby like rock climbing, you will all be very glad you had locked in on very low rates. It might be very expensive or unfortunately impossible to get coverage otherwise. This is especially true for people with a family history of diabetes, breast cancer, and high blood pressure.
Also: it is a very smart financial decision to buy insurance with long-term values in mind. We all want our children to grow up and lead responsible and productive lives. Odds are they will want to apply for a mortgage, start a business, or have some other need for liquid investment dollars. Having a life insurance policy in force, with cash accumulating, will make these events happen much more easily.