A child savings plan can help you save money for your child’s education and future without the risks and restrictions that can come with a 529 account. Index universal life insurance is a great alternative to traditional college savings account.

It may sound strange to use life insurance as a savings vehicle, but index universal life is different from other insurance policies. This policy has living benefits so you can access your money without penalties and gain interest.

As long as the policy is active, you or your child can withdraw money from the policy without paying it back. This way, you can put money into the account and let it grow until your child is ready to use it.

There are many benefits to index universal life insurance. There is no market risk, meaning that you will gain interest when the market is up, but you will never lose money when the market is down. This ensures that your money will only increase, leaving your child more money for their future. This insurance is also tax deferred and there are no rules about what your child can or cannot do with the money.

With a 529 account, your child will be penalized if they choose to use the money for anything other than school related expenses. With this policy, your child can use the money without penalties, even if he or she decides not to go to college.