It may not be something you want to think about as a parent; yet ill-health or even a disability can put you out of action for a period of time, thus impacting your ability to earn. When the ability to earn an income is compromised, even temporarily, affording the financial requirements in relation to your child’s education can become difficult. This is where an education protector benefit can be integrated into your life insurance plan and aid you in being able to continue funding your child’s education.
Should you consider having a life insurance policy for your child’s education?
The answer is ‘yes’ – it can be a very useful part of your overall financial planning as an income earner, especially if you’re the breadwinner of your household. Here is what you should take note of when considering a life insurance policy.
- Take inventory of your entire financial set of circumstances and needs. Ensure that you’re saving enough and covering household expenses.
- Where you can, start tallying up what education costs are likely to be (now and down the line) and get a sense of the ballpark amount you’d need to save towards. Begin with institution fees and immediate education needs.
- Ensure that the life insurance product you choose offers the most comprehensive protection available to best meet your needs. Assess this need with professionals on hand at your chosen insurer.
6 Benefits of holistic protection at every stage of your child’s education
In order to best enjoy the benefits of securing a child’s education prospects using life insurance products, maintaining a healthy state and lifestyle is imperative. As a parent, you can protect yourself against a life changing event that can result in financial difficulties; and protect the health state of your children with cover that helps to finance the best quality treatments available should ill-health directly affect them.
- You can choose to be covered for:
- A severe illness and disability only
- A severe illness, disability and death
- Death only
- The Shared-value mechanism offers rewarding cover whereby you automatically receive an accumulation of up to 10% of your child’s tertiary tuition fees at the start of the policy. Every year the accumulation percentage can be increased up to 100%, by engaging with Vitality and maintaining your health and wellness. Cover is available from crèche to tertiary education level (locally and internationally).
- As a Vitality member, you’ll qualify for up to 100% of your child’s tertiary tuition fees if you opt for the Private Global Education Protector Benefit; or up to 50% if you select the Core Global Education Protector Benefit.
With the Child Protector Benefit:
- Provide holistic protection for your child should they ever be impacted by specific severe illnesses or disabilities. Cover also allows multiple claims facility, access to the most advanced medical care through the Global Treatment Benefit, and funeral benefit of up to R30 000.
- Severe illness pay-outs range between 5% and 100% for medical conditions affecting all major body systems. Additional pay-outs include 100% lump sums for all cancers that affect children.
- The Cancer Exome Sequencing Benefit is available for Purple Life Plan clients, whereby up to R35 000 can be received for such treatment needs.
When you consider the level of emotional and financial strain that an unexpected event can cause on a family, protective cover like this can make a positive difference.
Only for a limited time, qualifying clients taking up the Global Education Protector Benefit and Child Protector Benefit can get a guaranteed minimum funding amount of up to 50% for tertiary tuition fees. With Vitality, this funding amount can be increased up to 100% as you proactively engage with the programme, improving your overall health and wellness. Offer only valid until 30 June 2021.
Learn more about Discovery’s Life insurance plan options and rewards here.
Discovery Life Limited. Registration number 1966/003901/06, is a licensed insurer, an authorised financial services and a registered credit provider, NCR Reg No. NCRCP3555. No liability will be accepted for the effect of any future legislative or regulatory changes. Product rules, terms and conditions apply.