Hi,I would like to know the official name of the type of insurance one buys for like a nickel a day when the baby is small and the premium stays the same and then when the child is ready to go to college, it is worth a lot. Or some advice on ways to spend little now but have a lot in 20 years, for my DGD. thanks
2006-11-01 16:42:33 · 4 answers · asked by ? 4 in Business & Finance ➔ Insurance
Well, it doesn't exactly work that way. The life policies commonly sold to babies, that you pay on for their whole life, are called Whole Life policies. They are usually a BAD buy. It usually pays out $2,000 towards funeral benefits, and when they turn 18, you can increase the policy to $25,000 or so (with an increase in cost) without having to prove insurability.
It was a good deal for my brother, a type 1 diabetic, because that was the only way he'd get coverage except through an employer. For the most part, however, it's a rotten deal.
For less than that, maybe $100 a year (2/3 the price) you can buy a 20 year term life insurance policy that will pay $100,000 upon death, you can renew that for another 20 years for about $125 a year. Just make sure the policy you get is renewable and convertible.
2006-11-02 01:17:47 · answer #1 · answered by Anonymous 7 · 0⤊ 0⤋
i believe you are talking about that Gerber Baby thing, i dont think they offer it anymore because they used to have commercials and dont anymore
2006-11-02 08:25:37 · answer #2 · answered by Chrystopher P 3 · 0⤊ 0⤋
what is a dgd?
2006-11-02 00:45:12 · answer #3 · answered by sdh0407 5 · 1⤊ 1⤋
I LOVE YOUR ICON!!!!
2006-11-02 02:02:20 · answer #4 · answered by misskenjr 5 · 0⤊ 1⤋