Why Buy Life Insurance On A Child or Grandchild?
As a parent you probably get a lot of offers to buy life insurance on a child or grandchild. However, like many people, you really do not see a good reason to buy life insurance for a person that young. Hopefully, they will live a long life, and right now they do not have the responsibility of other people to support. However, if you buy a permanent life insurane policy on a child, it will lock them in at a very low rate for the rest of their life. In fact, it would even make sense to buy a policy that can be paid up over a period of 10 or 20 years, and give them the gift of paid up life insurance. Many life insurance companies will also offer a guarantee of an ability to purchase more life insurance at various times without having to show any evidence of insurability. In other words, if the child should develop a health problem later, they will be able to purchase life insurance at a standard rate without going through an underwriting process. Third, if permanent life insurance is sta
