The importance of early Education planning
When our parents were young children, food, clothing, and shelter were considered to be the benchmark of happiness and contentment. Everything above this was a luxury. Education planning wasn’t really though to be important in those days. My mom tells me that how in the 1960’s sending a girl child to an English medium school and later college was considered to be a wasteful expenditure and when she was sent to one, my grandfather earned great flak from the society. The 90’s middle-class children like me were sent to regular colleges with modest fees. But that is not the case anymore. These days quality education for children, besides learning, also involves sports, competitions, art classes, social work, and many other activities. There is great scope and opportunity to learn but the costs of higher education are beyond affordable today, making it a distant dream for the common man. Educational fees are exorbitantly high especially if your child dreams to go abroad or get into a prestigious institution. This is forcing families to take high-interest student loans led students to be stuck funding a debt right after their graduation. It is thus critical for every parent to begin education planning early and to invest towards securing their greatest future need. A child education plan with a detailed education planner right from nursery to post graduation if needed helps us in ensuring the same.
Education planning must begin when your child is still young as it is important to start early and choose wisely. Let me introduce you to Aegon Life’s child education plan, iMaximize, and its key features.
What is iMaximize?
iMaximize is an online Unit Linked Insurance Plan (ULIP), It is flexible and offers market linked returns while at the same time offering your protection and safety for your investment. An important feature of this plan is the Triple*Benefit payout option offered on the death of a parent which means:
i) Sum assured is paid immediately and future payments are waived
ii) Annual payout equal to the annual premium is given
iii) Receive total fund value at the end of the term
Often while investing in ULIPs, I have realized that the amount I have paid is not the amount that gets invested as there are a number of hidden charges. Aegon life, on the other hand, ensures that 100% of the premium gets invested and this makes it value for money for the customer.
What makes it different from other products in the market?
· You have the option to switch your premium funds from one to another without incurring a penalty. You will be allowed 4 free switches in one year and there 6 unit-linked funds available to you
· You can opt for monthly or lump sum payment options
· You have the option to boost your fund value through periodic top-up premiums
· In case of emergencies, you can withdraw up to 20% after 5 years
· Anybody can start investing as the minimum payment you need to make is Rs. 2000/-
· You will receive Tax benefits on premiums paid and benefits received
· Your child can access the money once she/he reaches 18 years of age
Finally, I would like to leave you with this. We live in uncertain times and while we should definitely hope for the best, we cannot ever predict what may go wrong. Now that education planning is getting easier and systematic, we must not delay lest we repent later.
A child education plan will help ensure no matter what, your child will definitely get access to quality education which will lead to his or her future. I think you should definitely check the education planner available on Aegon Life’s website which will give you a free estimate on how much you ideally need to save. This will help you plan your child’s future better. I also urge you to evaluate all the risks involved before you invest in with anybody.