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Being a parent means a person is blessed with joy of having a child and at the same time responsibility of providing financially secured future for the child with good education. Nonresident Indians are highly influenced with such factors and hence, they buy a child insurance education plan online for their smooth children’s education.

In India, there are various insurance companies that offer child insurance policies for NRIs. Below PolicyBoss listed the types and benefits of children’s education plans:

Child Insurance Types

Generally, there are two types of child plans an NRI will consider when he or she goes for child insurance. Some plans cover a definite sum of amount with bonuses at defined intervals. On the other hand, some policies involve investment as a part of premiums paid by the insured person into fund and stock market. These plans pay back sum assured and loyalties paid back at regular intervals.

Policy Term

The period of child insurance education plan is subject to maximum age of child at maturity and maximum age of policy proposer at maturity as well. In Indian insurance market, child plans are available with a term of around 8 to 25 years. There are insurance products which specifies the policy period as ‘the proposer is insured until the age of the child is about 21’.

  • Age, sum assured and premium payment

Since the plans are bought for children the age of the proposer and the child is considered for entry and exit of policy. Usually, 18 to 50 and 0 to 17 are age limits at entry for parent and child respectively. Monthly, quarterly, half-yearly and annually are the options for premium payments. Premium amount is based on different factors such as policy period, premium payment intervals and sum assured.


Loyalties are paid off in regular intervals and earned from investment in funds during the policy period. Every insurer will have a specific formula to estimate the loyalty which is paid off during the policy period.

Benefits of Child Insurance

It helps to plan financial expenses of child’s education and also offers financial security about the child’s future. Health benefit rider and accidental death coverage with child insurance education plan makes the proposer feels secure against life uncertainties.