Do you take out life insurance for your kids when they are very young? Do you opt for several policies or a single one with a big coverage?

I have not taken out one yet, but I will be doing so in the near future. I am actually checking out my options. I think I will go for one big one that makes sense with a reputable company.

I won't be. What's the point? I was once explained it this way. You won't lose any income if they pass on and other than funeral expenses, they won't be leaving any bills. They have no reason to be insured. My bank has a life insurance of a couple thousand for funeral so that's covered.

At first, I took your post to mean what the previous posters thought but when I re-read your post, it sounded more like you mean to benefit your child. If it's the first, then I totally agree with the other posters. This is a complete waste of money. Life insurance is supposed to take care of final expenses and any debts while leaving money to take care of your family.

We took out a small policy on Charlie, just large enough to cover any medical bills and funeral costs. I know to some it seems silly, but 4 years ago my sister lost one of her children to an unknown viral infection. He was hospitalized for 9 days in the pediatric intensive care before he passed. They did gobs of tests and tried many things to save him... her bills from his hospital stay were staggering. And then she had funeral costs on top of that. Because of her husband's job they didn't qualify for assistance for their medical bills. Four years after his death they are still paying down the bill. :(

So I learned from her experience. Charlie's policy costs me $21/year. It's worth it to me, knowing that his medical bills will be covered if something terrible happened.

That's sort of what I meant. My bank does enough for funeral. We're lucky in that we live in Canada and wouldn't have many medical expenses, maybe just some missed work. If I lived in a place where I had to pay, I may think about getting enough for the medical bills.