Child Insurance – Is it Worth It?
Guide to child insurance: what it covers, what it costs, and whether you need it.
What is Child Insurance?
Child insurance provides financial protection if your child becomes seriously ill or has an accident. It supplements the care provided by the NHS.
Many parents choose child insurance for peace of mind, while others feel the NHS provides sufficient coverage.
What Does Child Insurance Cover?
Typical coverage
- Serious illness - Lump sum if diagnosed with covered conditions
- Accidents - Cover for injuries and their consequences
- Hospital stays - Daily payment while in hospital
- Loss of limbs/sight - Significant payouts
- Death benefit - Lump sum payment
What Does it Cost?
Typical prices
- Basic cover (critical illness add-on)£5-15/month
- Child-only health insurance£20-50/month
- Family health insurance (2 adults + 2 children)£165-250/month
Prices vary depending on coverage amount, excess level, and provider. Many parents add children to their critical illness cover for a small extra premium rather than buying standalone child policies.
Do You Need Child Insurance?
Arguments for
- Financial security if serious illness occurs
- Covers income loss when caring for sick child
- Provides support the NHS doesn't cover
- Relatively low cost for good protection
Arguments against
- NHS provides excellent free care
- Cost over 18 years adds up (~£2,000-£7,000)
- Many conditions and exclusions in policies
- Money could be saved/invested instead
Tips When Choosing
Things to consider
- Buy early - Ideally right after birth, before any health issues
- Check coverage amounts - Higher amounts give better protection
- Read the terms carefully - Check what's NOT covered
- Compare providers - Prices vary significantly
- Check work benefits - Some employers include child insurance
NHS Coverage
All children in the UK have access to NHS care:
What the NHS provides
- Free medical treatment
- Free prescriptions for under 16s
- Disability Living Allowance for eligible children
- Carer's Allowance for parents