School Fees Protector Benefit

Do you want to give your children the best education possible but are worried about being able to afford the cost of private school fees if something should happen to you or your partner?

AIA Australia have introduced a new optional benefit which can help to pay for your children’s school fees if you become totally and permanently disabled, terminally ill or you pass away. It can provide you with peace of mind knowing your children’s school fees are protected and hopefully prevent you from having to relocate them to a more affordable school, away from their friends and established support network. Together with child insurance, it can provide your children with excellent protection.

Policy information:

Child entry ages:

  • 2 – 15
  • Up to a maximum of 10 children

Available with:

  • Life Insurance
  • Total and Permanently Disablement Cover

Benefit payable:

Primary School Secondary (High) School
The lesser of:
Your child’s tuition fees; and
10% of the sum insured
The lesser of:
$16,000; and
Child’s tuition fees; and
10% of the sum insured of the principle benefit

The school fees will be covered for the remainder of the child’s education.

Case Study:

Steve and Tina have a single child Rebecca enrolled in Year 3 in a prestigious private school in their area with the school charging $7,000 per year in enrolment fees.

Steve, working as an electrician and Tina working part-time as an auditor, realise that if something were to happen to either of them, they would not be able to afford the school fees for Rebecca.

They decide to take out School Fees Protection as an option to Steve’s $2 million TPD cover through AIA Australia, to make sure their daughter’s school fees are covered should something happen to them.

Unfortunately, shortly after Rebecca begins years 4, Steve is injured in an accident at work which causes him to lose the use of his leg, making him totally and permanently disabled and unable to work.

Fortunately, Steve and Tina were still able to pay Rebecca’s school fees for the remaining years of her school life:

Primary school: $7,000 x 3
High School: $12,000 x 6

Total Benefit: $73,000

If you are concerned about being able to pay for your children’s school fees if something should happen to you, contact Life Insurance Direct on 1300 135 205 about the AIA Australia School Fees Protector Benefit.
Source: AIA Australia School Fees Protector Benefit, June 2013

Published: June 25, 2013
  • Your Guide to Finding Cheap Life Insurance for Seniors

    Read our guide to senior’s life insurance for pre and post-retirement. We review life cover rates for senior citizens over the age of 50 & 70 to help you find affordable cover.

  • Life Insurance Policy Options

    Use life insurance policy options to help you customise and enhance your cover to meet your needs and save you money!

  • NEOS Life Insurance Review

    NEOS Protection is a new Australian life insurance Retail policy launching in May 2018. Issued by NobleOak, NEOS products include Life Cover, TPD, Trauma insurance, Child cover and Income Protection. Discover what makes NEOS special and how you can benefit from their cover options and bespoke technology.

  • Accidental Death insurance

    Personal accidental death insurance provides cover if you die within 90 days of suffering an accident! Available stand-alone or as optional extra!

  • Transferring a Life Insurance Policy

    When life changes you might consider transferring your life insurance policy to another entity for tax, premium funding, family planning or other reasons to suit your new requirements.

  • AMP Elevate Healthy Start

    New AMP Elevate customers purchasing a Life or TPD policy can now get a 10% discount off their premiums when living a healthy lifestyle. However, eligibility depends on several criteria. Find out if you can get the Healthy Start discount and how you can maximise your savings even more.

Ask an Expert?

Share This