Let’s talk about your child's future: What you need to know to save with confidence
Raising children comes with a variety of big and small decisions along the way. These choices, like where they should attend school or which extracurricular activity to take up, can become overwhelming without the right information. We know that the stakes can feel incredibly high for educating little ones and ensuring that they have every opportunity available to them in the future. Thankfully, securing your child’s future does not have to be as complicated as selecting their school. All you need is a plan that will help your hard-earned money do more to provide for their future.
Parents across the country are finding that gaining access to a high-quality education up to the university level is no simple matter, despite the widening opportunities and increasing enrollments. This has not stopped a rapidly growing number of students from pursuing higher education beyond secondary school at Bangladeshi universities, colleges and polytechnic schools as well as overseas.
However, a limited supply of public universities and even fewer scholarships to ensure equitable access to education is pushing the high cost of education on students’ families – a sum estimated to be 1.26 times higher than Grades 11 and 12. We know the kind of financial strain this investment in your child’s education can have on families. After working so hard to provide a quality education for your children, it is also important to have a plan for saving the money needed in small amounts over time so that they have access to the quality university education of their choice.
Financial investment products, such as insurance, can help you save up the funds that will be needed after secondary school, providing the peace of mind that your family will be financially secure, and your children supported. Endowment insurance plan types for education typically come with term periods of up to 21 years. This means that if your child has finished his or her education when the plan reaches maturity, the money can be used to help in a new career, to cover marriage expenses or in support of other important life events. Similar to health and life insurance policies, you are able to protect your family from unforeseen costs and safeguard their financial stability in the event that something happens to you. When borrowing from relatives and nongovernmental organizations is not enough to pay for a university education, you need to have funds to ensure that this part of the educational journey is covered.
A trusted partner can help you determine the right insurance plan, based on your needs and financial capabilities. For many families, an education protection plan can mean the difference between your child confidently pursuing the degree, or degrees, of their choice and compromising to minimize the financial strain. That is why it is so important for Bangladeshi parents have options to level the playing field and ensure that their children have access to a higher education that opens doors to future opportunities. When considering an insurance product for your child’s future, ask yourself the following questions:
How much do I want to set aside for my child’s education? This will be an important consideration because the costs of education can vary depending on what your child intends to study, where, and how long that field of study will take.
What is an affordable amount that I can pay in premiums? Your monthly premiums should not be more than you can afford based on your current income and expenses. If you begin paying an amount that is more than you can afford, you may need to terminate the policy early and suffer a financial loss.
Does this policy provide access to funds in the unfortunate event of my death? Make sure to look for a policy that waives payment of the premium in the event of death or other situations where you are no longer able to pay, such as diagnosis of a critical illness or total and permanent disability. It is an important safeguard to ensure that your children are able to live a secure and complete life in your absence.
As your family begins its journey through life, assurances that they will be protected through an uncertain future is vital. An education protection insurance plan can provide that security in a rapidly changing world. With the right plan, you can invest with the confidence that the money you save will be there for your child in the future. This investment can be one of the many decisions about raising your children that does not have to be difficult.