When it comes to life insurance, most people think about adults. However, child life insurance is an option many families consider. Unfortunately, several myths make people hesitant about purchasing it. Let’s separate fact from fiction and debunk the five biggest myths about child life insurance.

Myth 1: Life Insurance for Children Is Unnecessary

Many believe life insurance is only for adults. While children don’t have financial responsibilities, child life insurance offers benefits beyond just a payout. It ensures lifelong coverage, locks in low rates and can serve as a financial investment.

Myth 2: It’s Too Expensive 

Some assume child life insurance is costly, but it’s actually affordable. Since children are healthy, premiums are low and you can lock in these rates for life. Over time, the policy can grow in value, providing financial security in the future.

Myth 3: It’s Only Useful If Something Tragic Happens 

Although no one likes to think about the worst-case scenarios, child life insurance provides more than just death benefits. Many policies build cash value over time. This money can help with expenses in the future like paying for a child’s college tuition, covering costs for higher education or contributing to a down payment on their first home. This makes child life insurance a useful financial tool for families.

Myth 4: It’s Better to Wait Until They’re Older 

Waiting to buy life insurance can mean higher costs later. Purchasing a policy for your child now guarantees lower rates and ensures coverage even if they develop health conditions later in life.

Myth 5: Savings Accounts Are a Better Option 

While savings accounts are great, they don’t offer the same benefits as life insurance. Life insurance not only builds cash value but also provides long-term security. A combination of both can create a solid financial foundation for your child.

Child life insurance isn’t just about planning for the unexpected; it’s about securing the future. By understanding the facts, you can make an informed decision that benefits your family in the long run.