Saving for a child's education

Question:

What is an education policy? I was told by my agent that I should buy a living policy for my child instead of an education policy as it serves the same function and have life coverage. Your advice?

REPLY:

An education policy is for the parent to save for the expenses of sending a child to university. As this is quite expensive, the parent has to save in advance for many years.

It is better to invest in a low cost investment plan, and get the best return on your savings. A living policy is not appropriate. It has high expenses and gives a poor return.

Read this FAQ.