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Children are those who bring joy to our families. Think of the day that your child was born and you held him or her in your fingers for the very first time. When you hold your child in your arms, you know that it's your responsibility to take care of him. As a parent, your prime duty is to protect the future of your child, and a good way to start is to invest in a child insurance plan. 

Insurance companies in UAE have many insurance plans for children. A child insurance plan provides the security net you would want for your child, and it also gives you the benefits of investments as well. Here we have listed some reasons why you should consider child insurance plans if you haven't secured your child's future yet.

1. Health Protection 

The immune system of children is in a developing stage until they are in their mid-teen years. The chance of getting an illness is very high at this age. Children have slower reflexes and lack the ability to sense danger when compared with adults, so there is a potential danger of being in an accident in everyday life. A good policy will take care of the child's health and provide financial backup for treatment. The money invested in a child insurance plan will come in handy in this situation. 

Insurance Companies in Dubai fully fill the need for medical insurance for kids. Medical insurance for kids is not only a backup plan to cover the times when children fall but also a preventive measure that ensures any unfortunate events stay at bay from the beginning.

Medical Insurance Plans for Kids

• Family Health Insurance Plans

A family health insurance plan is the most common and preferred type of health insurance for kids. It offers the option of dependent insurance in the UAE. The policyholder can add family members as dependents in this plan and can also extend the coverage to include them. 

• Children Only Medical Insurance Plans

Some insurance companies in UAE offer children-only health insurance plans as well. These insurance plans are designed to cover each child individually and are not combined under a single plan with parents. The benefits offered in these plans are similar to any individual or family insurance plan available in the UAE.

2. Taking Care of Education 

Every parent's primary concern is his or her child's future, and everyone is aware of the escalating cost of education in the times that we live in today. Giving your child an education at a good school doesn't come cheap. In the future, your child may decide to pursue higher studies that will cost the moon. If you are well invested in a child insurance plan that matures during such times, your financial burden will be relieved. 

3. A Habit of Saving 

The child care plan comes with the twin benefits of insurance and investment. Before you buy a plan, make a calculation of your need for funds during the various stages of life. Also take into consideration your responsibilities, such as a personal loan, and zero in on an insurance plan that is an ideal fit with your financial plan. While at first, it may additionally appear as a burden, paying periodical premiums will quickly grow into an addiction that will put you in good stead when your ward grows up.

4. Helps in Achieving Future Goals

Several child insurance policies come with dynamic and balanced equity-debt allocations. Experienced fund managers in insurance companies ensure that your investments fetch the best possible returns on your money. Insurance plans come with many options, including an auto-rebalancing option that keeps an allocation in a particular proportion irrespective of market movements.

Most of the child insurance plans give high returns due to sizable investments in equities and almost continuously beat inflation in the medium and long term. This protects the money from getting eroded and also grows it considerably. 

Child Health Insurance-Related Rules in the UAE 

The governments of the UAE, Abu Dhabi, and Dubai have established some rules related to medical insurance for kids and dependents provided by employers. It includes the mandatory benefits, the age of getting the insurance, and more. We have listed below the basic guidelines set by the insurance governing authorities:

Abu Dhabi: In Abu Dhabi, it is mandatory for employers and sponsors to provide at least an essential benefits plan to all employees and their dependents. The employee can add one spouse and three children up to the age of 18 as dependents in the group insurance plan. If the employee has more than three children, they can include the next child when a previously included child turns 18 and is no longer considered a dependent under the plan.

Dubai: The laws governing health insurance in Dubai state that it is mandatory for employers to provide health insurance for their employees but not their dependents. However, it is the responsibility of sponsors to provide health insurance for their dependents.

The Rest of the Emirates: The other remaining emirates don't have any mandated health insurance laws for employees or dependents. There is no obligation for employers and sponsors to provide basic or medical insurance to their employees and dependents.

Newborn children are also included in infant care maternity cover with their mother for 30 days after their birth. The child can be included immediately in an existing personal healthcare plan with the parents after the infant care ends.