In our last blog we discussed whether or not you should buy life insurance for your kid. Buying insurance for your kids is a great idea and more people are starting to realize it. In this blog, we’re discussing the reasons why.
Parents are becoming increasingly aware of the rising cost of post secondary education and the harsh reality of how to ensure that their kids can have a college or university education and RESPs just don’t cut it anymore. While the total amount they can deposit to their child’s RESP over 17 years is $50,000 all they get for all that time and money in help from the Government is $7,200 and that’s it. RESP’s today don’t come close to paying for a 4-year university degree today, let alone what a degree will cost in the future. To add insult to injury RESPs are a single purpose vehicle. Education only and only a government approved program at a government approved institution. If your child wants to attend a program or institution not on the approved list, you are out of luck. If your child decides not to pursue a post secondary education, again, you’re out of luck.
It’s no wonder that parents are looking for alternative ways to save for their child’s future that make sense and that’s why they’re buying Participating Life insurance for their kids in ever increasing numbers.
Why should you buy Participating Life Insurance for your kids?
- It pays for life
- Compounding tax free dividends paid to your child their whole life,
- The policy is fully paid up for life after 20 annual deposits (no more contributions are ever required)
- Growing cash value tax free during your child’s entire life
- Permanent built in life insurance (no need for them to ever buy another policy or ever medically qualify as adults)
- Flexible in how it can be used
- Pay for any education program worldwide; not only those approved by the government
- It can be used even if your child doesn’t pursue post secondary education to buy a house, start a business, or as a source of income
- Can be used during the child’s lifetime
- It’s the only tax free gift parents and grandparents can give their children and grandchildren
Contact Insurance for Children today and find out for yourself why more people are buying insurance for their kids.