The customers can also purchase these plans online after calculating the premium rates using the online calculator.
Why Should You Use a Child Double Benefit Plan Calculator?
An insurance plan calculator is an online tool that helps the policyholder analyze the different types of plans available. When we talk about HDFC Child Double Benefit
plan, this online tool helps to calculate the premium for financing the child's future needs related to education, marriage, or even buying a car.
The online child plan calculator considers various factors such as interest rates, inflation rate, and the child's current age before calculating the premium rate. The online tool also informs the user about the amount of life cover needed and the sum assured that the customer would receive the policy term's maturity.
Some of the reasons why you should use a Child Plan Calculator
- The child plan calculator helps the customer compute the premium rate required to meet the child's milestones.
- It helps the customer to assess the risk involved in choosing a suitable plan. The customer with a risk appetite can choose a unit-linked plan, whereas the conservative one can select a savings or a term plan as per one's choice.
- The child plan calculator also includes a smart option where the customers can include rider options related to the policyholder's health.
- HDFC Child Double Benefit Plan Calculator displays a summary of the plan chosen along with the sum, assured, frequency of the payment, policy term, and premium paying term. It also displays the policyholder's benefits during the policy period and the return rate and guaranteed benefit.
- The online tool gives a clear idea to the customers on the chosen plan.
The Process to Use the HDFC Child Double Benefit Child Plan Calculator
The insurer has programmed a customer-centric online child plan calculator. It is easy to use and accessible by the users on the insurer's official website, mobile app, and social media platforms. The process to use the child plan calculator is as follows:
- Fill the online form with personal details.
- The calculator will prompt the user to provide the essential details such as the first name, last name, date of birth of the policyholder, age of the policyholders' child, dependents. It may also ask the customer if he/she has any smoking habits. Some plans may require the customers to reveal their NRI status.
- Fill in the details of the sum assured.
- The customer is redirected to the following link, where he/she needs to enter the sum assured.
- Calculate the premium rate and proceed to buy
- The policyholder is then given the estimate of the premium rate along with the policy term. It is the crucial step of the process as the customer needs to decide judiciously based on the monthly earnings. The customer can recalculate the child plan calculator and finalize a premium rate that is affordable for him/her in the long term.
Advantages of HDFC Double Benefit Child Plan Calculator
The key benefits of using a child plan are its accessibility to the customers at any given time. The plan calculator is found on the insurer's official website round the clock. The policyholder can browse through the insurer's website and get a clear idea about the premium payment and policy terms. Some of the advantages of the child plan calculator are as follows:
- Gives details of the computed premium amount
- The online calculator's primary benefit is that it is programmed to calculate the policyholder's inputs to calculate the premium rate, sum assured, and policy term. The customer can calculate the premium in a matter of a few mouse clicks.
- Integration with mobile app and social media platforms
- The customer can quickly get real-time updates by following the insurer's official social media page. The insurer had also integrated the plan calculator in the mobile application and the official social media page for the insurer to have a broad reach and stay connected with the customers in all possible ways. The presence of the online calculator in all online platforms makes it a time-saving option for the policyholders.
- Crucial information at free of cost
- The online tool is available for free for all visitors to the insurer's website. One can easily access information about premium payment round the clock rather than reaching out to the insurer's office locations. The online calculator is available on the insurer's website even during the holidays.
Information required while using HDFC Child Double Benefit Plan Calculator
The policyholder needs to have some basic details handy to utilize the calculator effectively. Some of the mandatory information required by the child plan calculator are as follows:
- The policyholder needs to submit his/her details, such as his name and date of birth.
- In the child's plan, the policyholder also needs the child's name and age.
- The customer must vary the child's milestones that he/she is funding, such as the child's education, marriage or career, etc.
- In case of additional benefit, the policyholder needs to reveal his/her smoking habits for health cover.
Benefits of Buying HDFC Child Double Benefit Insurance Plan
The child insurance plan is one of the most affordable plans for the masses. A parent can choose from a wide variety of plans that secures the child's future and looks after the child's financial needs even in the parent's absence. Some of the benefits of buying a child plan are as follows.
If the life insured has died due to unforeseen events, the life insured's nominee can avail death benefit with two options.
- Classic Death Benefit Option: The company will pay a higher sum assured on death than the sum assured on maturity. The company will also pay the nominee accrued guaranteed additions, accrued reversionary bonuses, interim bonuses, and terminal bonuses.
- Classic Waiver Death Benefit Option: In this option, the company will waive all future outstanding premiums under the policy. The company will continue with the payouts scheduled as per the policy terms and continue participating in the profits even after the life insured's death. If the life insured dies at the start of the benefits under Academia and career options, it will not reduce the payable death benefit.
The policyholder can receive the sum assured at the end of the policy term and guaranteed additions and bonuses. The policyholder's sum assured can be deployed to meet the child's milestones such as education and marriage.
The plan gives the policyholders an option for additional boosters if the premium payment term is ten years or more with the condition that the policy is in force.*The guaranteed additions for less than or equal to 19 years for policy term is 3% annually for the first five years and nil after that.* For policy terms greater than or equal to 20 years, the guaranteed additions are provided at 5% per annum for the first five policy years and nil after that.
Creation of Wealth
A policyholder with a disciplined approach to investing in a child's plan can end up accumulating a vast corpus to meet the child's expenses, such as school tuition fees, college admission fees, marriage expenses. The plan will reward a patient and disciplined investor with ample wealth.
Customer-Focused Options for Premium Payment and Policy Terms:
The customer can choose to pay the premium annually, quarterly or monthly, per the funds' availability. The customer can also extend the child plan's policy term for a longer duration to enjoy more benefits and accumulate more savings that the child can use to secure his/her future financially.
*Standard T&C Applies
HDFC Child Double Benefit Plan Premium Rates
The customer is spoilt with selecting a child's plan as there are plenty of child insurance plans available in the market. The HDFC child double benefit plan is a savings cum life cover plan available to the customers at a competitive rate. The customer needs to discern the right plan by considering factors such as the premium rate, sum assured, policy term, etc. The premium rates of the child double benefit plan depend on the following.
- The entry age is based on the maturity benefit availed by the policyholder.
- The maturity benefit has three options which are given as follows.
- The entry age to avail of the aspiration maturity benefit is 0 years.
- The entry age to avail of the Academia or career maturity benefit is eight years.
- The entry age to avail of all three options is 18 years.
- The minimum policy term is 15 years with a maximum of 25 years.
- The customer can choose from two policy payment terms; one can choose seven years for a shorter duration. A customer with a long-term investment horizon can choose ten years policy payment terms.
- The policyholder with Aspiration maturity benefit will receive a lump sum on maturity to meet the child's marriage expenses. The parent can also finance a start-up venture when the child aspires to be an entrepreneur.
- The customer with Academia maturity benefit will receive a five-year payout. The company will pay 15% of the sum assured for the first four years consecutively. The company will pay 30% of the sum assured during the fifth year. The customer can use the payouts to pay the child's college fees and hostel fees without financial strain.
- The policyholder who has chosen the career maturity benefit plan will get payouts from the insurer for the first five years at 15% of the sum assured; the company will pay 40% of the sum assured at the time of maturity of the plan. It is a qualified plan for those parents who want to fund the child's junior college, graduation, and post-graduation studies. The corpus can also send the child to study abroad or be used for marriage expenses.
The child double benefit plan calculator can thus be utilized efficiently to calculate premium rates, maturity benefits, and sum assured at the policyholders' convenience. The use of the calculator is to provide a piece of detailed information about the plans available.
Ans. The child is structured specially to meet the child's milestones such as education and marriage.
Ans. There are three types of insurance plans for children. The company offers a ULIP plan, savings plan, and single-premium insurance plan.
Ans It is a unit-linked plan which offers market returns to the policyholders. The customer can choose to allocate funds to equity and debt instruments according to his/her risk appetite.
Ans. It is a risk-free insurance product where the customers' money is invested in savings. It provides life cover, maturity benefits, and tax benefits to the investor. It is not linked to the market and offers steady returns to the policyholder.
Ans. It is a customized insurance plan in which a policyholder does not need to set aside money for premium payments. It provides the same benefits as the regular insurance plan. The policyholder needs not worry about remembering to pay the premium at the due date.
Ans. The customer must have the following documents to purchase a child insurance plan.
- The customer must have proof of address such as a valid passport, a valid driving license.
- The policy form is mandatory as it contains essential information such as the details of the plan and policy terms opted by the customer.
- The parents who buy a child insurance plan must submit proof of income, such as a salary certificate.
- The customer must also have a PAN card for tax-related details.
- The customer must also submit proof of age which requires a valid passport, a birth certificate, or the educational mark sheets.
Ans. It is recommended to start early for the welfare of the child. The plans with a longer time horizon give more significant returns.
Ans. The maximum age limit is 65 years.
Ans. The maximum policy term of the plan is 20 years.
Written By: PolicyBazaar - Updated: 28 September 2021