Child Plan
2024-05-14 7 Min read
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Parenting is a source of immense happiness and joy, intertwined with the responsibility of providing the very best for your child’s life. For some parents, planning a child’s future begins even before the baby is born. Considering the best schools, scheduling their curricular and extracurricular activities in and outside the school, and supporting their academic and personal development comes naturally to most parents. And so does the concern to safeguard their child’s future and their dreams.
With education inflation soaring at 12%, it is only through strategic investments that you can help mitigate the financial limitations. By investing early in child investment plans, you can harness the power of compounding and build a substantial fund over time. If you are looking for a financial product that can help plan a safe and secure future for your child, you may have come across a number of efficient and suitable plans, and one such option is the SUD Century Gold. Being an endowment plan, it offers savings as well as coverage. Read on as we discuss all about endowment plans, their features, choosing the best child education plan and making the most of it.
What is an endowment plan? How can it help my child?
An endowment plan is a life insurance policy that combines the benefits of savings and protection. Said to be a nearly risk-free savings plan, an endowment plan offers a structured and secure way to safeguard your child’s financial future. Besides offering coverage for your (parent’s) life, it helps in the accumulation of wealth, which you can use for your child’s higher education, helping them start a business or maybe for their wedding day.
In an endowment plan, you can receive a lump sum amount at the time of maturity. However, in case the insured individual passes away during the term of the policy, the nominee receives the lump sum as a death benefit. An endowment plan is a valuable instrument for long-term financial planning and goal fulfilment and thus works well as a child investment plan. You make disciplined savings over a period of time, which helps you in planning your child’s education. The right child policy allows you to ensure that you can provide them with the resources they need to pursue their dreams and aspirations, even if you are not around anymore.
In an endowment plan, you can receive a lump sum amount at the time of maturity. However, in case the insured individual passes away during the term of the policy, the nominee receives the lump sum as a death benefit. An endowment plan is a valuable instrument for long-term financial planning and goal fulfilment and thus works well as a child investment plan. You make disciplined savings over a period of time, which helps you in planning your child’s education. The right child policy allows you to ensure that you can provide them with the resources they need to pursue their dreams and aspirations, even if you are not around anymore.
Begin building a more assured tomorrow today with SUD Century Gold
As parents, you may often navigate the world of investments without a clear strategy. Randomly allocating your hard-earned money to various instruments without proper knowledge can do more harm than good. While investing is the sure-shot way to create the best educational opportunities for your child, choosing the best child education plan in India is easier said than done. That is why we present to you SUD Century Gold, a non-participating, non-linked life insurance plan that offers guaranteed returns which is considered to be among the best child plans in India.
When it comes to the child’s future, every parent would want to minimise the potential for significant losses. A low-risk product, SUD Century Gold provides much-needed stability and security to your financial portfolio. Let us first take a quick look at the features of this child saving plan and then delve into the details.
When it comes to the child’s future, every parent would want to minimise the potential for significant losses. A low-risk product, SUD Century Gold provides much-needed stability and security to your financial portfolio. Let us first take a quick look at the features of this child saving plan and then delve into the details.
| Parameters | Details |
|---|---|
| Plan Options | ● Goal Sure ● Edu Sure |
| Entry Age |
|
| Maturity Age |
|
| Policy Loan | Available |
| Grace Period | Grace Period of 30 days in case of Quarterly/ Half-yearly or Yearly Premium Payment mode and 15 days in case your Premium Payment mode is Monthly./td> |
| Free Look Period | 15 days for other modes and 30 days for Electronic Mode/ Distance Marketing mode. |
| Premium Payment Term (PPT) | 5/ 6/ 8/ 10 years |
| Policy Term | For PPT 5 years : 15 | 16 | 17 | 18; For PPT 6 years : 15 | 16 | 17 | 18; For PPT 8 years : 18 | 19 | 20 | 21 | 22; For PPT 10 years: 18 | 19 | 20 | 21 | 22 |
How does SUD Century Gold help you secure a better tomorrow for your child?
Giving your child a golden future is what you want. And for that, the right planning is essential. With the SUD Century Gold plan, you can easily deal with the changing needs of your child. The plan comes with two options. While both options offer fantastic benefits when looking for best policy for child insurance for children, you can consider the SUD Century Gold Edu Sure plan option.
While the plan helps you acquire a significant corpus, it also ensures that in case something happens to you, your child would not have to compromise with his/ her dreams because of financial constraints. The Edu Sure plan option offers death benefits in three parts:
● Lumpsum benefit is paid immediately
● Income benefit where 5% of the annualised premium is payable monthly
● A lump sum amount in the form of a Guaranteed Maturity Benefit is paid at the end of the policy term.
Here’s an example to show you what makes the SUD Century Gold Edu Sure plan option one of the best child plan in India. Nitin Sharma, age 30, selects the SUD Century Gold Edu Sure plan option with the following details:
● Annual Premium: INR 1 lakh per year
● Premium Paying Term: 10 years
● Policy Term: 20 years
He pays a premium of INR 10 lakhs over a period of 10 years. From the 11th year, the Guaranteed Additions will start and continue for the entire policy tenure. At the time of maturity, he will receive INR 15,73,050 as the sum assured and INR 6 lakhs as the Guaranteed Additions, making the maturity benefit INR 21,73,050
In the unfortunate scenario of Nitin passing away during the 7th year of the policy, his nominee will receive:
● INR 10,50,000 as an immediate death benefit
● A total monthly income of INR 7,80,000
● A lump sum amount of INR 21,73,050 at the end of the policy tenure.
The total benefits received by the nominee will be INR 40,03,050.00.
The financial security offered by the SUD Century Gold Edu Sure plan surely makes it an option worth considering. Let us take a look at the various other benefits that you can expect with the SUD Century Gold Edu Sure plan.
● An easy way to build a substantial corpus
Collecting a large amount of money can be overwhelming, especially for salaried people. However, if planned correctly, the maturity amount from your Century plan can help you accumulate a sizable corpus. Then, when the time comes, you can utilise it as per your child’s financial needs, such as sending them to a renowned college/ university in the country or even abroad.
Tip: Starting early is always wise. The sooner you start with a child education plan, the longer the tenure and the bigger the corpus.
● A plan option that best suits your needs
The Century Gold child saving plan comes with two options:
● Goal Sure, where the death benefit is payable as a lumpsum
● Edu Sure, where the death benefit is paid in 3 parts3.
● SUD Century Gold plan is ideal for long-term goals
This plan has been designed to offer you the benefit of long-term savings. You can choose the policy tenure as per your child’s age and when you would need the funds. Also, during the term of the policy, if you need some extra inflow of cash for any unexpected educational expense, you can opt for a loan against the policy. The loan amount can be as high as 70% of the surrender value.
Tip: Choose a Premium Paying Term carefully, as it can make paying premiums easier. You can also choose a premium paying frequency that best suits your budget.
● When it is about your child’s future, leave nothing to chance
Through the Century Gold plan, you invest your hard-earned money in a low-risk savings tool. Without the worry of market fluctuations, you can rest assured that at the end of the policy term, you will get guaranteed returns.
● Make the most of the tax benefits
Yet another advantage that you can enjoy with this endowment policy is tax benefits. The premium that you pay towards the policy is eligible for tax deductions of INR 1.5 lakhs per year as per Section 80C. That’s not all; you may also enjoy a fully exempt maturity benefit under Section 10(10D)4.
Tip: Make sure you understand your tax implications. Take the help of a professional to get the best tax benefits from this plan.
While the plan helps you acquire a significant corpus, it also ensures that in case something happens to you, your child would not have to compromise with his/ her dreams because of financial constraints. The Edu Sure plan option offers death benefits in three parts:
● Lumpsum benefit is paid immediately
● Income benefit where 5% of the annualised premium is payable monthly
● A lump sum amount in the form of a Guaranteed Maturity Benefit is paid at the end of the policy term.
Here’s an example to show you what makes the SUD Century Gold Edu Sure plan option one of the best child plan in India. Nitin Sharma, age 30, selects the SUD Century Gold Edu Sure plan option with the following details:
● Annual Premium: INR 1 lakh per year
● Premium Paying Term: 10 years
● Policy Term: 20 years
He pays a premium of INR 10 lakhs over a period of 10 years. From the 11th year, the Guaranteed Additions will start and continue for the entire policy tenure. At the time of maturity, he will receive INR 15,73,050 as the sum assured and INR 6 lakhs as the Guaranteed Additions, making the maturity benefit INR 21,73,050
In the unfortunate scenario of Nitin passing away during the 7th year of the policy, his nominee will receive:
● INR 10,50,000 as an immediate death benefit
● A total monthly income of INR 7,80,000
● A lump sum amount of INR 21,73,050 at the end of the policy tenure.
The total benefits received by the nominee will be INR 40,03,050.00.
The financial security offered by the SUD Century Gold Edu Sure plan surely makes it an option worth considering. Let us take a look at the various other benefits that you can expect with the SUD Century Gold Edu Sure plan.
● An easy way to build a substantial corpus
Collecting a large amount of money can be overwhelming, especially for salaried people. However, if planned correctly, the maturity amount from your Century plan can help you accumulate a sizable corpus. Then, when the time comes, you can utilise it as per your child’s financial needs, such as sending them to a renowned college/ university in the country or even abroad.
Tip: Starting early is always wise. The sooner you start with a child education plan, the longer the tenure and the bigger the corpus.
● A plan option that best suits your needs
The Century Gold child saving plan comes with two options:
● Goal Sure, where the death benefit is payable as a lumpsum
● Edu Sure, where the death benefit is paid in 3 parts3.
● SUD Century Gold plan is ideal for long-term goals
This plan has been designed to offer you the benefit of long-term savings. You can choose the policy tenure as per your child’s age and when you would need the funds. Also, during the term of the policy, if you need some extra inflow of cash for any unexpected educational expense, you can opt for a loan against the policy. The loan amount can be as high as 70% of the surrender value.
Tip: Choose a Premium Paying Term carefully, as it can make paying premiums easier. You can also choose a premium paying frequency that best suits your budget.
● When it is about your child’s future, leave nothing to chance
Through the Century Gold plan, you invest your hard-earned money in a low-risk savings tool. Without the worry of market fluctuations, you can rest assured that at the end of the policy term, you will get guaranteed returns.
● Make the most of the tax benefits
Yet another advantage that you can enjoy with this endowment policy is tax benefits. The premium that you pay towards the policy is eligible for tax deductions of INR 1.5 lakhs per year as per Section 80C. That’s not all; you may also enjoy a fully exempt maturity benefit under Section 10(10D)4.
Tip: Make sure you understand your tax implications. Take the help of a professional to get the best tax benefits from this plan.
Over to you
All parents wish to ensure a brighter, more promising future for their children. It’s a lifelong commitment that shapes their potential and helps them achieve their dreams and aspirations. A plan like the SUD Century Gold child saving plan can be an ideal tool when you want to grow your money in a safe and definite way.
Source
1.https://www.outlookindia.com/business/education-inflation-at-12-tackle-it-with-smart-investments-cheap-loans-says-report-news-308187
2.https://www.sudlife.in/Media%20Coverage/Century%20Gold%20V02%20Product%20AV.mp4
3.https://www.sudlife.in/products/life-insurance/savings-wealth-plans/sud-life-century-gold
4.https://incometaxindia.gov.in/tutorials/20.%20tax%20benefits%20due%20to%20health%20insurance.pdf
Reference: SUD Life Century Gold | UIN: 142N087V02
2.https://www.sudlife.in/Media%20Coverage/Century%20Gold%20V02%20Product%20AV.mp4
3.https://www.sudlife.in/products/life-insurance/savings-wealth-plans/sud-life-century-gold
4.https://incometaxindia.gov.in/tutorials/20.%20tax%20benefits%20due%20to%20health%20insurance.pdf
Reference: SUD Life Century Gold | UIN: 142N087V02
Disclaimer
Star Union Dai-ichi Life Insurance Company Limited is the name of the Insurance Company and “SUD Life Smart Healthcare” is the name of the plan. Neither the name of the Insurance Company nor the name of the plan in any way indicates the quality of the plan, its future prospects or returns
SUD Life Century Gold | UIN: 142N087V02 | A Non-Linked Non-Participating Individual Savings Life Insurance Plan Star Union Dai-ichi Life Insurance Company Limited | IRDAI Regn. No: 142 | CIN: U66010MH2007PLC174472
Registered Office: 11th Floor, Vishwaroop I.T. Park, Plot No. 34, 35 & 38, Sector 30A of IIP, Vashi, Navi Mumbai – 400 703 | Contact No: +91 22 7196 6200 | 1800 266 8833 (Toll Free) | Timing: 9:00 am – 7:00 pm (Mon – Sat)| Email ID: customercare@sudlife.in | Visit: www.sudlife.in | For more details on risk factors, terms and conditions, please refer to the sales brochure carefully, before concluding the sale. |Trade-logo displayed belongs to M/s Bank of India, M/s Union Bank of India and M/s Dai-ichi Life International Holdings LLC and are being used by Star Union Dai-ichi Life Insurance Co. Ltd. under license.
SUD Life Century Gold | UIN: 142N087V02 | A Non-Linked Non-Participating Individual Savings Life Insurance Plan Star Union Dai-ichi Life Insurance Company Limited | IRDAI Regn. No: 142 | CIN: U66010MH2007PLC174472
Registered Office: 11th Floor, Vishwaroop I.T. Park, Plot No. 34, 35 & 38, Sector 30A of IIP, Vashi, Navi Mumbai – 400 703 | Contact No: +91 22 7196 6200 | 1800 266 8833 (Toll Free) | Timing: 9:00 am – 7:00 pm (Mon – Sat)| Email ID: customercare@sudlife.in | Visit: www.sudlife.in | For more details on risk factors, terms and conditions, please refer to the sales brochure carefully, before concluding the sale. |Trade-logo displayed belongs to M/s Bank of India, M/s Union Bank of India and M/s Dai-ichi Life International Holdings LLC and are being used by Star Union Dai-ichi Life Insurance Co. Ltd. under license.
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