Tuition insurance
Insurance coverage for students
Tuition insurance is a form of insurance coverage designed to protect students and their families from financial losses in the event a student must withdraw from an educational institution - schools, colleges or universities - due to unforeseen circumstances. These circumstances typically include serious illness, injury, mental health conditions, or the death of a tuition payer. The insurance reimburses non-refundable tuition fees and, in some cases, associated costs such as room and board, and other fees.
Tuition insurance can be obtained through educational institutions or directly from an insurance provider. Most tuition insurance policies cover the cost of tuition in whole or partly if a student has to withdraw from his or her studies for medical reasons.
History
Tuition insurance has existed since 1930. It was developed to mitigate the financial risks associated with investing in higher education, particularly when unexpected events prevent a student from completing their studies. It benefits both students and educational institutions since it may cover the money a student owes an educational institution in case the tuition payer can no longer cover these costs. Colleges and universities typically offer prorated refunds for a few weeks after the start of classes, and offer nothing after that time. Many institutions offer tuition insurance to help cover the gap.
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This entry incorporates text from “Tuition insurance” on English Wikipedia. Contributors are listed in the page history. Text is available under the Creative Commons Attribution-ShareAlike 4.0 License. Selected authority identifiers and statements are retrieved from Wikidata under CC0; their references and qualifiers remain part of the verification path.