As anyone who is contemplating college, currently attending college, or putting someone through college knows, higher education is expensive. In fact, it has been reported that since the early 1980s the cost of a college education at a four-year public institution has increased by 250 percent. It’s safe to say that the average parent’s wages haven’t increased by anything close to that!

While Yuba City insurance is something that many people assume you only need to look into after you start your career, the truth is it can play an important role while a person is still in school. Why? Well, refer back to those numbers above and you may start to understand that it’s critical both for parents and students to have life insurance policies.

Ensuring College will be Covered

There was a time when parents tended to pay for all of their child’s college expenses. Given the astronomical increase in tuition and other fees, it’s more common today that parents handle only part of the bill. Even so, it’s important that that portion is covered so that the child can complete their course of study.

Consequently, many parents have life insurance policies on themselves that will be sufficient to cover funeral expenses, a mortgage, and college education for their kids. Doing so gives everyone involved peace of mind.

Students and Cosigned Loans

In today’s world with students often taking out loans to pay a portion of their college expenses, it’s not uncommon for parents to cosign on the loan with the understanding that the student will begin paying on it as soon as they graduate and find employment. Unfortunately, if the student should die before the loan is repaid, the parent inherits that obligation.

For that reason, it makes good financial sense to have a life insurance policy on the student that can, at a minimum, cover funeral expenses and loan balances. While it’s a sobering thought, again, it’s good for everyone’s peace of mind in the long run.
The Right Policies for Putting College Tuition Concerns to Rest

If your child is preparing to start college or already attending school, it’s important to think about whether they and you have appropriate life insurance coverage. We can work with you to find policies that will ensure that nobody ever has to endure hardship related to college bills. Call our Yuba City life insurance agency at 530-751-1212.

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