Is it permissible to donate a surplus amount of money allocated from insurance for one's children in order to pay off usury?

It is not permissible for the children to take an increase on the money they received because it is usury (riba). They must dispose of it by spending it on the interests of Muslims or by giving it to the poor and needy. However, if they are in need of this money, it is permissible for them to benefit from it.