What Is Child Life Insurance? – Best Life Insurance for A Child

What Is Child Life Insurance? Like a life insurance policy for an adult, a life insurance policy for a child is a contract with an insurance company. Premiums are paid (typically monthly or annually) in return for the promise that the insurance company will pay a death benefit if the child dies.

With an insurance policy for an adult, the policyholder typically is the insured person—the one who is covered by the policy. With a policy for a child, the child is insured, but a parent, grandparent or legal guardian is the policyholder. The policyholder also can be the beneficiary who receives a payout if the insured child dies.

Life insurance policies for children typically are whole life insurance policies, which means they will provide lifelong coverage as long as premiums are paid. Premiums tend to be guaranteed, so they won’t increase over time. Plus, a portion of the premium goes toward building cash value, which can be accessed while the child is alive for any reason.

You can’t buy a term insurance life policy for a child, which would provide coverage only for a certain number of years. However, if you buy a term life insurance policy for yourself, you might be able to add a rider to cover all of your children until they reach a certain age, at which time the coverage likely can be converted to permanent policies for them at an additional cost.

What Is Child Life Insurance? (Explained)

Child life insurance is a form of permanent life insurance that insures the life of a minor. It is usually purchased to protect a family against the sudden and unexpected costs of a child’s funeral or burial and to secure inexpensive and guaranteed insurance for the lifetime of the child. It offers guaranteed growth of cash value, which some carriers allow to be withdrawn (collapsing the policy) when the child is in their early twenties. Child life insurance policies typically offer the owner the option to purchase, or in some cases obtain additional guaranteed insurance when the child reaches maturity.

Child life insurance policies typically:

  • Are issued with face values between $5,000 and $50,000.
  • Are always issued without a required medical examination.
  • Have zero investment and zero interest rate risk associated with cash value growth.
  • Provide insurance coverage for a designated beneficiary.

Child life insurance should not be confused with juvenile life insurance, which is issued with much larger face values (normally $100,000–$10,000,000) and is generally purchased for college savings, lifetime savings, estate planning and guaranteed insurability.

The 6 Best Life Insurance for Children of 2021

  • Best Overall: Mutual of Omaha
  • Best for Whole Life Coverage: Gerber Life Insurance
  • Best for Term Coverage: State Farm
  • Best for Versatility: Foresters Financial
  • Best for Affordability: Thrivent
  • Best for College Students: Globe Life Insurance

Should I Buy Life Insurance for My Children?

As a financial investment, children’s life insurance is not always a necessary choice because child mortality rates are so low and the whole life policies offered usually have a poor rate of return. If peace of mind is important to you, and the cost of funeral and burial may be hard to afford, then the most cost-efficient option—a simple term rider for $10,000 to $30,000 attached to the parent’s life insurance policy—should suffice for this instance and at rates of around $50 per year for all children in the family (as available with State Farm), this solution is hard to beat.

Children’s life insurance is easy to get, with few questions asked and no requirement for a physical. For children with health problems, who may be uninsurable as adults, or who enter professions that are uninsurable, children’s life insurance is incredibly important because after the policy is written there will never be a requirement to provide proof of insurability again.

What Does Life Insurance for Children Cost?

Generally, children’s life insurance is inexpensive. Here is a run-down of the typical costs:

  • Term: This is the least expensive insurance and typically only offers coverage of $10,000 to $20,000 per child. Term insurance is not a policy written in the name of a child, but is a rider to a parent’s life insurance policy that covers all children, even children born after the policy is initiated. For instance, the cost of a rider with State Farm is around $50 per year, regardless of the number of children in the family.
  • Whole Life: By comparison to a term-life insurance rider, whole life is more expensive, but compared to whole life insurance for an adult who initiates a policy at say, age 35 or 40, the cost is incredibly low. Whole life children’s policies generally offer coverages of $5,000 to $50,000 with some policies capping out lower and some higher. For a newborn in most states the cost for this range is about $30 to $200 per year, with the companies here as low as $2.17 per month.

Normally these policies require very little information beyond name, date of birth, sometimes gender, and the resident state. Usually, there are no questions about medical conditions and no physical or medical examinations required.

How We Chose the Best Life Insurance for Children

While many aspects of the whole life policies and the term riders are the same across insurers, there are differences that will draw you to one or a few insurers in particular versus others. We looked at about fifteen insurers and focused the criteria that matter most when shopping around for children’s life insurance, including the financial strength of the company, the cost of the plans offered, and the ease of applying for and initiating the policy.

After these common points, we called out aspects that were unique, such as:

  • The age for all insurers except one was two weeks to 17 years, but Globe Life Insurance is the only insurer that will write new policies for children ages 18 to 24.
  • All coverages are for a fixed amount that you select for the life of the policy, except Gerber Life who doubles the coverage automatically at no additional cost when the insured arrives at age 18.
  • Thrivent offers very low rates and is one of the most financially sound insurers, but will only write policies for Christians.

From there, we picked the six final best life insurance companies for children included here to help you in your selection process.

27 thoughts on “What Is Child Life Insurance? – Best Life Insurance for A Child

  1. I wanted to send you that bit of note just
    to give thanks yet again for these great information you’ve contributed here.
    It was really seriously open-handed of you to present easily exactly what
    most of us could possibly have offered for an e-book in making some money for their own end,
    notably given that you could possibly have tried it in case you desired.
    Those advice likewise worked to be the easy way to recognize that other people online have the same passion the same as my own to realize way more regarding this matter.
    I am sure there are many more pleasurable moments ahead for people who find out your website.

  2. Needed to create you the very little word so as to give many thanks
    as before with your pretty tricks you’ve contributed on this site.
    It has been quite seriously generous of people like you to give freely precisely what a number of us could have offered for sale as an ebook
    to earn some cash on their own, particularly considering that you might well have tried it if you ever desired.
    These concepts in addition served to become a good way to be aware that other people have similar keenness like my personal own to figure
    out way more related to this condition. I’m sure there are numerous more enjoyable moments ahead for people who read your site.

  3. In the great scheme of things you actually receive an A+ with regard to hard work.
    Exactly where you misplaced us was first on all the details.
    As as the maxim goes, the devil is in the details… And that couldn’t be
    more accurate right here. Having said that, permit me say to you what exactly did give good results.
    Your text is certainly pretty persuasive which is probably why I am taking an effort in order to comment.
    I do not make it a regular habit of doing that.
    Secondly, whilst I can certainly notice a leaps in logic
    you make, I am definitely not sure of just how you appear to unite your details which
    in turn help to make your conclusion. For the moment I shall subscribe to your
    point however hope in the near future you actually connect the
    dots better.

  4. Throughout this grand design of things you actually receive a B+ for effort.
    Where exactly you lost me was first in all the facts.
    You know, as the maxim goes, the devil is in the details…
    And it couldn’t be much more true at this point. Having said that,
    allow me reveal to you precisely what did give
    good results. Your article (parts of it) is definitely pretty persuasive and that is possibly why I am taking an effort in order to comment.
    I do not really make it a regular habit of doing that. 2nd, whilst I can see a leaps in reason you make, I am not confident of just how you seem to connect the details
    which produce your final result. For right now I shall subscribe to your position but
    wish in the foreseeable future you actually link your
    facts better.

  5. I needed to post you one very little remark in order to give many thanks as
    before considering the incredible opinions you’ve
    provided on this site. This is certainly remarkably open-handed of
    you to provide freely all that numerous people might have offered as
    an e book to help make some bucks for their own end, principally
    seeing that you might have tried it in case you decided.
    Those things additionally acted to be a fantastic way to know that
    other people have the identical desire much like my very own to find out good
    deal more related to this problem. I believe there are numerous more fun periods in the future for individuals that
    browse through your site.

  6. I wanted to write you this tiny observation to give thanks as before over the wonderful knowledge you’ve
    discussed in this article. It has been simply incredibly open-handed of people
    like you to allow unreservedly just what a lot of people might have sold for an e-book to get
    some cash for themselves, certainly given that you
    might have tried it if you wanted. Those tips as well worked to be a good way to comprehend other
    people online have the same interest similar to my very own to understand more and more with reference to this problem.
    I am certain there are millions of more enjoyable times
    in the future for individuals that go through your blog.

  7. Needed to create you the tiny observation just to thank you again about the extraordinary techniques you
    have shared on this site. This is certainly wonderfully generous with people
    like you to convey freely all that many people could
    have supplied as an e book to earn some cash for themselves, primarily considering that you could possibly have tried
    it if you ever wanted. These guidelines also served like a
    fantastic way to know that other people online have similar zeal much like my very own to realize
    somewhat more in respect of this matter. I think there are thousands of more pleasant occasions
    up front for individuals that look into your blog.

  8. I intended to put you that very small note in order to thank you over again for
    all the magnificent tips you’ve discussed here.
    This has been open-handed of you to deliver easily what many of us would’ve
    made available for an ebook to get some bucks on their own, most importantly since
    you could have tried it if you ever decided.
    These smart ideas as well acted as a great way to realize
    that someone else have the same dreams really like my very
    own to understand a great deal more pertaining to this issue.
    I’m sure there are numerous more pleasurable times
    ahead for those who examine your site.

  9. Needed to write you one very little observation to say thank
    you yet again with the remarkable principles you’ve discussed in this article.
    It has been so incredibly open-handed of you giving unhampered exactly what
    some people would have distributed for an e-book to end up making some money for themselves, and in particular seeing that you could possibly
    have done it in the event you considered necessary.
    Those strategies also served like the great
    way to recognize that most people have the identical passion much like
    my personal own to know the truth more and more when it comes to this problem.
    Certainly there are a lot more pleasurable sessions up front for many who see your website.

  10. I intended to put you the tiny word to be able to say thanks yet
    again on the gorgeous opinions you’ve shared at this time.
    This is really extremely open-handed with you to allow unreservedly all numerous people could have advertised for an electronic book in order to make some
    cash for their own end, precisely considering the fact that you could have done it in case you
    desired. Those secrets in addition acted to become a fantastic way
    to fully grasp most people have the identical dream just like my very own to know somewhat more regarding this condition.
    I believe there are numerous more enjoyable opportunities in the future for individuals who
    examine your blog.

  11. Needed to draft you one very small remark in order to give many thanks over again just for the precious
    things you’ve featured at this time. It’s so surprisingly open-handed
    with you to give freely all a number of people could have supplied for an e-book
    in order to make some profit for themselves, most notably
    now that you might well have tried it in case you desired.
    The things as well served to become a easy way to
    understand that someone else have similar passion the same as mine to grasp somewhat more related to this condition. I believe there are some more pleasant situations ahead
    for many who read through your website.

  12. In the grand pattern of things you actually get
    an A+ for hard work. Exactly where you lost me personally was first in your specifics.

    As it is said, details make or break the argument..
    And that could not be more correct right here. Having said
    that, allow me inform you exactly what did deliver the results.
    The writing is extremely engaging which is possibly why I am making an effort in order to comment.
    I do not make it a regular habit of doing that.

    Second, although I can easily see a leaps in reason you make, I am not really sure of how you appear to
    unite the ideas which make the actual final result. For the moment I shall subscribe to your position but trust in the near future you actually link the
    dots much better.

  13. I wanted to write you the very little remark to be
    able to say thanks a lot over again for your precious tricks you have featured in this article.
    This is simply extremely open-handed with you to give
    openly precisely what numerous people could have sold as an e book to earn some cash for their own end,
    and in particular considering that you could have done it
    in case you desired. These advice also worked as a good way to realize that other people have
    the same fervor just as my personal own to figure out a great deal more related to this issue.
    I think there are numerous more pleasant times up front
    for individuals that scan your blog.

  14. Needed to post you the very small observation to finally give thanks again for these beautiful advice
    you have documented in this case. It’s quite surprisingly
    open-handed of you to convey freely precisely what many individuals could possibly have supplied as an e book to end up making some money
    on their own, certainly since you could have done it if you decided.
    These principles additionally served like a good
    way to know that the rest have similar dreams really like my very own to
    know the truth a good deal more when it comes to this issue.
    I am certain there are numerous more pleasant times up front for individuals who look over your blog post.

  15. Needed to put you that very little remark to give many thanks
    again relating to the incredible pointers you have documented in this case.

    This has been so pretty generous with people like you to provide publicly exactly what a lot of people could have marketed as an ebook
    to help make some dough for their own end, and in particular seeing that you could have done it in case you desired.
    These strategies additionally acted to provide a
    great way to fully grasp that other people have a
    similar keenness similar to my personal own to figure out a good deal more when considering this issue.

    I’m certain there are a lot more enjoyable times up front for people who find out your blog.

  16. Needed to put you that very little word in order to thank
    you again considering the amazing tactics you
    have featured here. It was remarkably generous with people
    like you to make extensively precisely what most of us would have distributed as an e-book to help make some bucks for themselves, most importantly considering the fact that
    you might have tried it if you ever considered necessary.
    Those points in addition served to be the great way to be certain that someone else have a similar interest much like my very own to figure out somewhat more with regards to this
    matter. I am certain there are many more fun opportunities in the future for those who
    see your site.

  17. I intended to send you a bit of remark to be able to give thanks once again over
    the pleasing thoughts you’ve documented in this article.

    It’s really extremely open-handed of people like you
    to present extensively precisely what numerous people might have marketed for
    an ebook to help make some money for their own end, even more so now that you might well
    have tried it in the event you considered necessary.
    The basics also worked like a great way to realize that
    many people have the identical dream like my own to learn somewhat more in terms of this issue.

    I am sure there are numerous more enjoyable occasions in the future for folks
    who see your site.

  18. Needed to compose you one little note to finally say thanks as
    before considering the unique information you’ve provided on this site.
    It’s so remarkably open-handed with people like you in giving freely just what
    a few individuals would’ve advertised for an e-book to end up making some cash on their own, particularly considering that you might have tried it in case you wanted.
    The advice additionally acted like a great way to comprehend some people have similar passion like my own to know whole lot more on the topic of this problem.
    I believe there are some more enjoyable instances ahead for
    many who take a look at your website.

  19. I needed to write you a very little word just to say thank
    you over again regarding the lovely suggestions you’ve shared above.

    It has been so unbelievably generous of people like you to offer openly what exactly a number
    of people could possibly have offered for an electronic book in making some money for their own end, especially given that you could possibly
    have tried it if you decided. These inspiring ideas additionally served as the
    great way to fully grasp other individuals have a similar keenness like my personal own to learn very much
    more related to this matter. I believe there are many more enjoyable times ahead for many who read your
    website.

  20. I needed to put you the little note so as to give many
    thanks the moment again for all the pretty concepts you’ve discussed here.
    This is really extremely open-handed with you giving extensively all most people
    would have marketed for an e book to generate some bucks
    for themselves, certainly since you might well have done it if you
    ever desired. The basics in addition served to be a great way to comprehend some people have the same
    eagerness really like my personal own to know significantly more regarding
    this condition. I think there are some more
    pleasant times ahead for people who see your
    blog.

  21. I wanted to draft you the very little remark to say
    thanks the moment again with your precious tactics you have contributed on this website.
    It is really open-handed of you to grant without restraint precisely what a few individuals
    would have marketed as an electronic book in making some money for themselves, most importantly now that
    you could possibly have tried it in case you wanted. Those creative ideas
    also worked like the great way to be sure that someone
    else have the identical desire like my personal own to see a little more in terms of this problem.
    I’m certain there are millions of more pleasurable sessions ahead for folks who read your blog post.

  22. I intended to put you the little bit of observation to give thanks
    as before for the exceptional ideas you’ve contributed above.

    This is shockingly generous with people like you to provide
    easily what exactly a lot of people could have marketed
    as an e book in making some money for themselves, most notably seeing that you might well have
    tried it if you decided. Those basics also worked to provide a good way to be aware
    that the rest have similar keenness just as my very own to know the truth great deal more
    in terms of this matter. I think there are a lot more pleasant instances in the
    future for many who discover your blog.

  23. I have read so many articles or reviews concerning the
    blogger lovers but this paragraph is really a pleasant paragraph, keep it up.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: