The perfect insurance for the Holidays can be anything from a life policy to an annuity. Insurance make a great gift. You are giving security to the person. It can be a good idea for children to take out an annuity for them. This will grow and have money available to them when they reach a certain age. Another great gift for children is a child’s life insurance policy.
These have a low premium. When a child reaches a certain age he can increase the coverage. Also, the money built up in this policy can be taken out and used for college or a new car. An annuity would make a great gift for older children or adults. In these policies a lump sum, one time payment can be put in and it will earn interest. This is like a gift that keeps on giving. Also, for those in this range, would be a paid up life insurance policy. This is where the total premium for the life of the policy is paid at one time.
Then, the insured has the policy available to them until they die. Another gift idea is a policy to cover a particular item such as jewelry or outside equipment. The premium for 1 year can be paid to cover the item. A life policy or an annuity is the best idea for a gift. You can take out an annuity that you would put money into every year for the insured. This would be a gift that gives every year. This would be good for children or grandchildren. They would see money adding up each year and then at a certain age they would have the money to do with as they please.
Once an annuity is taken out, many different family members could give money to be put into the annuity. The insured can even add to it themselves. Also, The money doesn’t have to be taken out all at one time. It can be set up to be paid out over several months or years. They are very flexible. A card showing the amount deposited and or the interest earned each year can be given the the insured. This way they will know how much is in it. Over a child’s lifetime , with regular deposits, a child could have a large sum of money in an account. This is a good way to help pay for college expenses. Annuities can e given for any holiday, not just Christmas.
Putting money in at each holiday will help the balance grow quicker. An account kept through out a persons life time to retirement can make a big difference in a persons finances after retirement. The money in the annuity can help to supplement the social security a person will receive. It can make a big difference.