With the rising cost of living especially the cost of education, it is now more important than ever to consider planning for your child's education. An average child will go through 12 years of primary and secondary education and an additional 4 years in college. This is a big expense on the parents/guardians' life.

Many insurance companies offer an education policy for children and you should invest in one. This is why;

·         The rising cost of education.

The cost of education keeps going up with each passing year. Most universities are increasing the tuition fee by 5% p.a which means by the time your child goes to university the fees will be incredibly high. Securing an education policy for your child will help you ease this financial burden and make education for your child enjoyable and secure.

·         Safeguard your child against uncertainties in life.

If anything happens to you as a parent/guardian your child is safe in continuing their education. An education policy will cover you in that in case of your demise or illness the insurer invests on your behalf. This will ensure that your child's education is certain.

·         Avoid borrowing for education.

Most students and parents end up taking massive loans to support their children through school. An education policy reduces the chances of that happening as it will cover your child's education. These loans end up setting up your child to pay this debt for many years after their education. With many uncertainties in the future, your child could be in debt and unemployed. An education plan helps to avoid this.

·         Promote entrepreneurship.

With the employment industry so uncertain an education plan for your child could offer the much-needed capital to start a business. Instead of your child being buried in debt and still unemployed, the education policy can be used to finance a start-up to help your child achieve their goals.

·         Tax incentives.

While paying the premiums for an education policy you could be eligible for tax relief. Most insurance proceeds are tax-free and therefore you can benefit from annual tax relief. Make sure to check this out when getting a policy for your child.

·         Take loans on the cover.

While paying premiums on the cover, you can take out loans for the benefit of the child. Many banks accept an education policy as collateral when taking out an educational loan or personal loan for your child. This is highly beneficial when in need of a lump sum amount for your child.

·         Return on investment.

An education policy on your child comes with double benefits. Apart from it being insurance for your child, it's also an investment that earns a competitive annual interest. This could result in a very profitable investment.

·         Save a little, earn a lot.

With an education plan, you save a little every month and wait as the account keeps growing. Once it matures, the little amount that was being saved from time to time becomes a generous reward leading to many befits for you and your child.

These are just but a few of the benefits of getting your child an education policy. If you don't plan for tomorrow you are destined to end up in a mess of debt and uncertainty.