How to Choose Child Education Insurance: Tips for Parents

Child Education Insurance – Parents naturally want the best for their children, and a good education is a big part of that. Unfortunately, education costs rise by 15% to 30% every year, and parents' incomes do not keep pace. Insufficient income forces some children to drop out of school, and some never reach higher education at all. To prepare for the high cost of schooling, especially at university, you can sign up for child education insurance. Before you become a policyholder, read the tips below:

Decide on Your Child's Education

As a parent, you can decide how far your child's education will go, but your child should be part of the discussion. Some parents impose their wishes without knowing what the child wants. Start by thinking through a plan. Decide how far you want to take your child's education: only senior high school (SMA), a three-year diploma (D3), or a bachelor's degree (S1)? Then decide where your child will study. This planning is very useful before you choose an education insurance product.

Read: Types of Insurance: Benefits and Programs

Itemize the Cost of Education

Once you have settled on your child's level of education and where they will study, the next step is to itemize the costs your child will need. An accurate breakdown helps you set the coverage limit you need. To get the details, you can visit the school or university directly.

Choose a Trustworthy Insurer

Do not be lured by cheap premiums. First check that the insurer is trustworthy. A reliable insurer usually has many customers, because they trust it to manage the premiums they pay. If you pick a shady education insurance provider, you will not know where your premium money goes. Such a company could even embezzle customers' funds.

Also read: 5 Benefits of Child Education Insurance for the Future

Match Your Budget

When choosing insurance, pick a plan that fits what you can afford, while still matching the education plan you have for your child. Look closely at your finances and your ability to pay. Putting part of your income into education insurance should not leave your family's finances unstable. You would also struggle to pay the premium every month. Premiums that are not paid properly can cause problems with your policy, which then affects the payout when you file a claim.

Look for a Flexible Policy

The last step in choosing the right insurance is to look for a flexible policy. Education insurance is not like a savings account, where you can withdraw money at any time. It has a fixed term. Because of that, you should choose a plan with a flexible policy. Curricula can change at any time, and education costs can change with them. If that happens, your estimate of your child's education costs will be off. A flexible policy works in your favor because you can file a claim whenever you need to.

One trusted insurer that makes claims easy to file is Panin Dai-ichi Life, with its Kids Edu Plan. To become a Kids Edu Plan customer, you can register through an insurance agent or at the nearest insurance office. The product's advantage is that you can prepare education funds for your child specifically for senior high school and university. The premium also stays the same throughout the coverage period. With education insurance for your child from Panin Dai-ichi Life, you will be better equipped to prepare the best education for your child.

Source: https://www.panindai-ichilife.co.id/id/asuransi-pendidikan