Last Updated: November 3rd, 2025
Life insurance for children provides guaranteed future insurability and builds cash value, but it’s not essential for most families. The best options include Mutual of Omaha for comprehensive coverage, Foresters Financial for larger policies up to $75,000, and Globe Life for young adults up to age 24. Parents can also add affordable child riders to their own term policies instead of buying separate whole life coverage.
Life insurance on your children sparks debate in financial planning circles. Some experts say it’s unnecessary since kids don’t provide income. Others point to the guaranteed insurability and cash value benefits that can protect your child’s financial future.
The truth is somewhere in the middle. This coverage isn’t right for every family, but it does solve specific problems that matter to many parents.
In this guide, we’ll look at the best life insurance options for children, explain how these policies work, and help you decide if this protection makes sense for your family. Since you can’t buy term life insurance on a minor, we’ll focus on whole life insurance and child riders.
5 Best Life Insurance Providers for Children
Here are the companies we recommend if you’re shopping for life insurance coverage for children:
Mutual of Omaha: Best All-Around
Mutual of Omaha leads the children’s whole life insurance market with policies that balance affordability, coverage options, and long-term benefits. The company has earned A+ financial strength ratings from A.M. Best, so you can trust they’ll be around to pay claims decades from now.
You can buy a policy on children from 2 weeks to 17 years old. Coverage starts as low as $5,000 and goes up to $50,000 per child. Monthly premiums typically start around $4 to $5 for basic coverage, though rates increase as the child ages.
Key benefits that set Mutual of Omaha apart:
The guaranteed insurability feature protects your child’s future. Once you have a policy, your child can get more coverage later without going through underwriting again. This matters if they develop diabetes, heart disease, or other serious conditions that typically raise insurance costs or block coverage entirely.
The cash value component grows tax-deferred over time. You can borrow against this value for college expenses, a first car, or a down payment on a home. While it shouldn’t replace a 529 plan or dedicated savings account, it does provide another financial tool.
Mutual of Omaha’s online application makes the process simple. You can complete everything digitally without scheduling agent meetings or handling paperwork. The premiums stay level for life, and the death benefit never changes.
Foresters Financial: Best for Larger Policies
Foresters Financial stands out by offering coverage up to $75,000 per child. That’s $25,000 more than most competitors, making it the right choice if you want higher protection levels.
Foresters operates as a fraternal organization that provides financial services to members. You’ll need to join to buy coverage, but membership is easy to obtain. Think of it like joining a credit union to get better rates.
The policies work on children 17 and younger. Premiums may run slightly higher than Mutual of Omaha’s rates, but you’re paying for that extra coverage capacity. If you’re concerned about covering future expenses or want maximum protection, the premium difference makes sense.
Foresters also includes member benefits beyond insurance. You get access to scholarships, community programs, and financial education resources that add value to your membership.
Globe Life: Best for Young Adult Children
Globe Life extends coverage to young adults up to age 24. This fills a gap other insurers don’t address.
Yes, 18 to 24-year-olds can buy their own policies. But some parents want to maintain coverage on their young adult children, especially if they’re in college or just starting their careers. Globe makes this possible.
Coverage maxes out at $30,000, which is lower than the top two options. But premiums may come in below competitors, especially for younger children. If your child is under 10 and you want affordable protection with the option to keep it through their early twenties, Globe Life delivers.
The policies include the same guaranteed insurability and cash value features as other whole life options. Your young adult child can convert to higher coverage later without medical exams.
Gerber Life: Best for Long-Term Coverage
Gerber Life takes a different approach with its Grow Up plan. When your child turns 18, the coverage automatically doubles at no extra cost.
This strategy works best if you buy early and keep the policy throughout childhood. You’ll pay higher premiums than with Mutual of Omaha, but the doubling feature can make up the difference if you maintain coverage long-term.
Gerber writes policies up to $50,000 on children ages 14 days to 14 years old. The company markets this as a college savings alternative, but that’s overselling the benefit. The cash value does grow over time, but a 529 College Savings Plan will build wealth much faster due to better investment returns.
Still, Gerber Life is a solid company with strong ratings. If the doubling feature aligns with your planning timeline, it’s worth considering alongside traditional options.
American Family Insurance: Best for Flexible Coverage
American Family Insurance offers coverage adjustment options through policy riders. You can typically increase coverage as your needs change, though adjustments require agent assistance.
This flexibility matters if you’re unsure about the right coverage amount or if your financial situation shifts. Need more protection after your child develops a chronic condition? You can add it through available riders.
Increasing coverage will raise your premiums accordingly. This adjustability is rare in permanent life insurance for children, where coverage typically stays locked at the initial amount.
You’ll need to work with an agent to purchase and adjust coverage. But if flexibility matters more than digital convenience, it’s worth a phone call.
Child Riders vs. Children’s Whole Life Insurance
Many term life insurance plans offer child riders as an alternative to separate policies. These life insurance riders add a small amount of coverage for your child to your existing term policy.
Here’s the key difference: child riders aren’t standalone policies. They expire when your term policy ends or when your child reaches 21 to 25 years old (depending on the insurer). You get death benefit protection, which covers funeral costs if tragedy strikes, but nothing else.
Child riders don’t build cash value. They don’t guarantee future insurability (unless your insurer allows conversion to whole life). You can’t cash them out or borrow against them. They’re pure protection, nothing more.
When child riders make sense:
If you want only a small death benefit and don’t care about the extra features of whole life insurance, a child rider is likely your most affordable option. A $10,000 rider typically adds just $2 to $5 to your monthly premium.
Parents who already have term life insurance and want basic protection for their children should consider this route. It’s simple, cheap, and covers the main concern (funeral expenses) without the complexity of a separate policy.
When whole life makes more sense:
If you want guaranteed insurability, cash value growth, and lifetime coverage that your child can keep into adulthood, whole life is the better choice. Yes, it costs more. But you’re buying more features.
Alternatives to Life Insurance on Children
You’ll find plenty of advice online saying you shouldn’t buy life insurance for children since they don’t earn income to replace. In many cases, that’s sound guidance. But blanket rules don’t fit every family’s situation.
As you make this decision, consider these alternatives:
High-yield savings account: If you can set aside $20,000 to $30,000 in emergency savings, you might have the financial stability to weather a tragedy without insurance. The money stays liquid and accessible, unlike cash value in a life insurance policy that takes years to accumulate.
529 College Savings Plan: These tax-advantaged accounts grow faster than whole life insurance cash value. Investment returns in a 529 plan will outpace the guaranteed returns in a life insurance policy over time. If your main goal is funding education, choose the 529 plan.
Term life insurance on parents: Increasing your own term life coverage gives your family more financial protection at lower cost than insuring your children. If tragedy strikes, you’ll have resources to handle any expense.
Some financial advisors argue that worrying about a child’s future insurability is unnecessary. They point out that most children grow into healthy adults who can easily qualify for coverage. The odds of developing a disqualifying medical condition are relatively low.
But you know your family’s medical history better than any advisor. If diabetes, heart disease, cancer, or other serious conditions run in your family, guaranteed insurability might matter more to you than to the average parent.
Who Can Buy Life Insurance on a Minor
Parents, grandparents, step-parents, and legal guardians can all purchase life insurance on a child. The child doesn’t need to consent or even know about the policy.
In some states, grandparents may be able to buy coverage on a grandchild, though requirements vary by location. This creates some interesting family dynamics, but it’s legally allowed in many jurisdictions.
The policy owner (whoever pays the premiums) controls the policy and receives the death benefit if something happens to the child. Ownership can be transferred later if desired.
Do I Need Life Insurance for My Children?
This is a personal decision we can’t make for you. We help clients think through their options and find the protection that gives them peace of mind, whether that comes from insurance or another solution. For more background on how life insurance works, the National Association of Insurance Commissioners provides comprehensive consumer resources.
Consider life insurance on your child if:
You want to guarantee their future insurability regardless of health changes. You have family history of serious medical conditions that could limit their coverage options later. You want a forced savings vehicle with tax advantages (though a 529 plan works better for this). You need emotional reassurance that you could handle funeral costs and time off work if the unthinkable happened.
Skip life insurance on your child if:
You have adequate emergency savings to cover unexpected costs. Your family has no significant history of genetic health conditions. You’d rather invest in higher-return vehicles like 529 plans or index funds. You’re on a tight budget and the premiums would strain your finances.
In most cases, the benefits of children’s whole life insurance can be met with other financial products. But we’ve worked with families who bought policies for peace of mind while they built better financial foundations. There’s no universal right answer here, only what works for your specific situation.
Frequently Asked Questions
Can I buy term life insurance on my child?
No, term life insurance isn’t available for minors. Children don’t have income to replace, which is what term insurance is designed for. Your options are whole life insurance policies or child riders on your own term policy.
How much does life insurance for children cost?
Whole life policies on children typically cost $4 to $25 per month depending on coverage amount and the child’s age. A $10,000 policy might cost $4 to $8 monthly, while $50,000 coverage could run $20 to $30 monthly. Child riders on your term policy cost even less, usually $2 to $5 monthly for $10,000 coverage.
What happens to the policy when my child turns 18?
The policy stays in force with the same premiums and benefits. At age 18 or 21 (depending on the insurer), you can transfer ownership to your child so they control it. They can keep paying premiums, cash it out, or let it lapse. Some policies like Gerber’s Grow Up plan automatically double the coverage at age 18.
Can I use the cash value for college expenses?
Yes, you can borrow against or withdraw the cash value once it accumulates. But this takes years to build significant value, and the growth rate is lower than a 529 College Savings Plan. Use it as a supplemental resource, not your primary college funding strategy.
What if my child develops a medical condition after I buy the policy?
The policy stays in force at the same premium. This is the guaranteed insurability benefit. When your child becomes an adult, they can typically buy additional coverage without medical exams, even if they’ve developed diabetes, cancer, or other serious conditions that would normally block coverage or raise rates dramatically.
Do I need life insurance on my child if I already have a large emergency fund?
Probably not. If you have $20,000 to $30,000 in liquid savings, you can likely handle unexpected costs without insurance. The exception might be if you’re specifically concerned about guaranteeing future insurability due to family medical history.
Key Takeaways
Life insurance on children isn’t essential for most families, but it solves specific problems for some. The main benefits are guaranteed future insurability and modest cash value growth over decades.
Mutual of Omaha offers the best overall value with coverage from 2 weeks to 17 years old, premiums starting around $4 to $5 monthly, and strong financial ratings. Foresters Financial is your choice if you want coverage up to $75,000, while Globe Life extends coverage to young adults up to age 24.
Child riders on your term policy cost less than separate whole life policies but provide only death benefit protection, not cash value or guaranteed insurability. They’re ideal if you want basic coverage without extra features.
Most families do better with high-yield savings accounts and 529 College Savings Plans than with children’s life insurance. But if you have family history of serious medical conditions or want guaranteed future coverage regardless of your child’s health, whole life insurance provides that security.
The right choice depends on your financial situation, family medical history, and what gives you peace of mind. There’s no universal right answer, only what works for your specific needs.
Ready to Protect Your Child’s Future?
Deciding whether to protect your child with life insurance is a big decision that depends on your family’s unique situation. If you want to explore your options or compare quotes from top-rated insurers, we’re here to help with no pressure or obligation.
Use the quoter on this page to see what coverage would cost for your grandchild.
