Being a parent or grandparent is one of life’s greatest gifts. And while it’s fun to shower them with computers, phones and clothes, grandparents can play a significant role in setting their grandchildren up for the future.
Purchasing a life insurance policy for your grandchildren could potentially help pave the path to financial security and give them an invaluable peace of mind.
What is whole life or permanent insurance? Whole life Insurance is a type of permanent life insurance that provides a set amount of coverage for as long as you live. The premium for whole life insurance never changes—what you pay for the first month is what you’ll pay for every month the policy is in force.
A whole life insurance policy can be a great gift for grandchildren because it can last a lifetime. As long as the premiums are paid, a whole life insurance policy provides a death benefit, accumulates cash value each year and has the potential to give your grandchildren a head start on their financial future. Generally, premiums increase with age, but with a whole life policy, it’s possible to lock in a premium at the insured person’s current age for the rest of their life.
KATE WILDE, CLTC