Child Life Insurance
Affordable life insurance for children. Lock in insurability, build cash value, and provide protection for your family.
What is Child Life Insurance?
Child life insurance is coverage purchased for children (typically ages 0-17) to provide a death benefit and, in the case of permanent policies, build cash value over time. Coverage amounts typically range from $5,000-$50,000.
While no parent wants to think about losing a child, this insurance can cover funeral costs and medical bills, while also guaranteeing future insurability regardless of health changes.
Types of Child Life Insurance
Child Term Life Insurance
Affordable coverage for a specific period (10-30 years). Low premiums, high coverage. Best for parents on tight budgets who want death benefit protection.
Cost: $5-$15/month for $100,000 coverage
Child Whole Life Insurance (Most Popular)
Permanent coverage with cash value that grows over time. Premiums never increase. Most popular option for children because it guarantees future insurability.
Cost: $5-$30/month for $10,000-$50,000 coverage
Child Rider on Parent's Policy
Add-on to your own life insurance policy that covers all children (including future children) for one low cost. Typically $5,000-$25,000 per child.
Cost: $5-$10/month covers all children
Why Consider Child Life Insurance?
1. Guarantee Future Insurability
Lock in the ability to buy life insurance regardless of future health conditions. If your child develops diabetes, cancer, or chronic illness later, they'll still have coverage.
2. Cover Final Expenses
Funeral and burial costs average $7,000-$10,000. Child life insurance ensures you won't face financial hardship during an already difficult time.
3. Build Cash Value
Whole life policies build cash value that your child can borrow against or use in the future for college, first home, or other expenses.
4. Lock in Low Rates
Children get the lowest life insurance rates available. Premiums are locked in and never increase.
5. Financial Gift to Adult Child
Transfer the policy to your child at age 18-21. They'll have paid-up life insurance and cash value to use as they wish.
Common Questions
Is child life insurance necessary?
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No, it's not essential. Parents should prioritize their own life insurance first. However, if you can afford $5-30/month, it provides peace of mind and future insurability for your child.
What age can children be insured?
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Most insurers allow coverage starting at 14 days to 2 weeks old, up to age 17-18. Some companies offer coverage up to age 25 for full-time college students.
How much coverage should I buy?
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Most parents choose $10,000-$25,000 to cover funeral costs and provide some cash value. $50,000 is available if you want higher future cash value or guaranteed insurability.
Can my child increase coverage later?
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Yes! Most child whole life policies include guaranteed insurability riders that allow your child to purchase additional coverage at ages 18, 21, 25, etc., without medical exams.
Alternatives to Consider
Investment Account Instead?
Some financial experts recommend investing the premium in a 529 college savings plan or custodial investment account instead. These typically offer higher returns than life insurance cash value.
Best approach: Ensure parents have adequate life insurance first, then decide between child life insurance or investment accounts based on your priorities (guaranteed insurability vs. investment returns).
Average Cost
Child Whole Life Insurance
$5-30/month
For $10,000-$50,000 coverage
$10,000 Coverage
$5-10/month
$25,000 Coverage
$15-20/month
$50,000 Coverage
$25-30/month
Child Rider
$5-10/month (all kids)
What coverage level do you need?
Choose the protection that matches your requirements