Many parents begin investing as soon as their children are born to secure a brighter future for them. If you’re considering investment options for your kids, the Post Office’s Bal Jeevan Bima Yojana could be an excellent choice. With this scheme, you can invest just Rs 6 a day, accumulating significant funds for your children’s education and other necessities. Let’s explore this scheme further.
What is the Bal Bima Yojana?
The Post Office Bal Bima Yojana is part of the Rural Postal Life Insurance program. It is a unique insurance plan designed specifically for children. Parents can purchase this plan, but they must be under 45 years of age to qualify. This means that if you are older than 45, you won’t be able to take advantage of this scheme. The Bal Jeevan Insurance is available for children aged between 5 and 20 years, and parents can include up to two children in this plan.
Investing Rs 6 daily can yield Rs 1 lakh
Under the Child Life Insurance Scheme, you can choose to pay a premium ranging from Rs 6 to Rs 18 daily for your children. If a policyholder opts for a 5-year term, the daily premium is Rs 6. However, for a 20-year term, the daily premium increases to Rs 18. Premium payments can be made monthly, quarterly, biannually, or annually. Upon maturity of the policy, you will receive a sum assured of Rs 1 lakh.
Advantages of the bonus on a sum assured of Rs. 1000
This scheme offers significant benefits. If the policyholder (the parent) passes away before the policy matures, the premium payments are waived. This means the child will not have to continue paying premiums. After consistently paying premiums for 5 years, the policy becomes a paid-up policy. Additionally, under the child life insurance plan, you receive an annual bonus of Rs 48 for every Rs 1000 assured.
