Let’s face the facts, college can be expensive. While many students earn valuable experiences that can help them to join the workforce after they have earned their degrees, there are many students that may experience a variety of different hardships during their time at school that may prevent them for graduating and leaving them with a hefty amount of debt. It could be something that you could never possibly see coming that could leave you helplessly trying to cover your existing bills. According to a study from U.S. News, a total of “3.9 million undergraduates with federal student loan debt dropped out during fiscal years 2015 and 2016”. For this reason, many parents are beginning to take out Tuition Insurance policies as a safeguard before they head off to school. We spoke with Michele Chevalier, Senior Director, Product Management at Liberty Mutual to see why it is important for parents and students to think about the future with these kinds of policies.
Why you should think about Tuition Insurance before heading off to college
Why is Tuition Insurance a necessary protection for students today?
Tuition insurance protects your financial investment in an undergraduate or graduate education. Putting an academic career on hold can be a difficult decision. Whether it’s an injury, an illness, or an emotionally difficult time, unforeseen challenges do arise and can come at a cost for students that need to withdraw from school. Purchasing coverage before the semester begins means you’re protected.
What is covered in a basic Tuition Insurance policy?
The tuition insurance policy covers the cost of tuition, room, and board, and mandatory fees. Customers have the option to insure by semester or full academic year and can choose the amount they are insured for. Most people opt to ensure the full amount.
Who is this kind of insurance made for?
Tuition insurance is for undergraduate and graduate students attending most schools in a state where Tuition Insurance is available. Tuition insurance with Liberty Mutual is currently available in 14 states: Arizona, California, Connecticut, Illinois, Indiana, Kentucky, Massachusetts, Mississippi, New Hampshire, New Jersey, New York, Pennsylvania, South Dakota, and Wisconsin.
Are students with pre-existing conditions able to be covered by Tuition Insurance?
Generally, pre-existing conditions are covered, provided the student has no active symptoms and is medically able to attend school when they purchase the policy. Each case is individual, and we encourage prospective customers to visit our website to learn more or to call one of our dedicated customer service representatives.
For more information on Liberty Mutual’s plans, visit libertymutual.com/tuition-insurance.
