Family Policy Need Help

Dec 15, 2015

  1. nachobear
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    nachobear New Member

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    HI

    New to the insurance world and am trying to understand how things work. I was wondering how does a family policy work. For the insurability part for the parents and the kids and does can kids have a permanent plan while in this policy?
     
  2. Newby
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    Newby Guru

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    What is commonly called a "family policy" is just a marketing term. It can be various things but usually is a term or whole-life on the principle wage earner with a spouse term rider and a child rider. The family would usually be better covered with individual policies on each member but that would usually involve greater cost.

    With these "family policies" the coverage would either end or be repriced at their current age when the principle insured dies which is the main flaw with them. There are many variations though.
     
    Newby, Dec 15, 2015
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  3. poorvasingh87
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    poorvasingh87 New Member

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    Hi,

    If you are looking into insurance then there are actually a bunch of options that you can go in for. There are endowment plans that offer good maturity benefits but have premiums that are a bit high. Then there are ULIPs that invest the premium in equity/debt markets and the returns are generated from these investments. There are also some child plans that mature when your child attaining the age of 18 years which basically lets you pay for college and stuff. There is also one more type of insurance and that is term insurance… it’s a simple thing… pay a small premium, get a high cover.

    I would suggest that whatever plan you end up taking, make sure you take a term insurance plan as a backup.
     
  4. poorvasingh87
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    poorvasingh87 New Member

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    Hi,

    If you are looking into insurance then there are actually a bunch of options that you can go in for. There are endowment plans that offer good maturity benefits but have premiums that are a bit high. Then there are ULIPs that invest the premium in equity/debt markets and the returns are generated from these investments. There are also some child plans that mature when your child attaining the age of 18 years which basically lets you pay for college and stuff. There is also one more type of insurance and that is term insurance… it’s a simple thing… pay a small premium, get a high cover.

    I would suggest that whatever plan you end up taking, make sure you take a term insurance plan as a backup.
     
  5. Norwayguy
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    Norwayguy I have spent way too much time here.

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    Is there an echo? .
     
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