One of the primary reasons for buying child life insurance is to ensure that the child can have life insurance as an adult, regardless of future health conditions. Some policies guarantee the option to buy additional insurance at certain points in life without the need for medical underwriting.

In the unfortunate event of a child’s death, life insurance can cover funeral costs and other related expenses, which can be financially and emotionally burdensome for a family.  Certain policies also offer riders that waive premium payments if the parent or guardian who holds the policy dies, ensuring that the child’s coverage continues. Child life insurance policies can include riders or provisions that provide financial benefits if the child is diagnosed with a critical illness or requires certain types of medical treatment.

Whole life insurance policies for children often include a cash value component that grows over time and can be used in the future for expenses such as education or a down payment on a home. As it carries a low cost, this component makes it a valuable investment for the little one in your life.