For most parents, planning for a child’s future ranks as the most important and costly exercise that they will ever make after purchasing a home. The presence or absence of a solid plan to provide your child with good quality education will play a critical role in the quality of future that he or she will experience in adult years.

Unfortunately, many parents put off planning for their children’s tertiary education funding because the task appears overwhelming or they think saving the required amount of money will force them to severely compromise their current lifestyle. While these are legitimate concerns, they need not get in the way of establishing and maintaining an effective plan to finance your child’s tertiary education. Parents often make the mistake of waiting until their children graduate from the secondary education level before they attempt to identify a plan to source the required funding. As a result, many parents often get caught in the trap of depleting their retirement income or even taking on additional debt to offset the impending expenses.

Whether considering a local or international university for your child, the key to effective planning is to begin saving as early as possible. Starting early affords you the comfort of saving a manageable amount on a monthly basis, which you can increase as your disposable income increases over time. Saving for longer periods also generates higher return on your investment by virtue of the longer time factor involved.

There are several investment vehicles available that can assist you in planning for your child’s future. The financial instruments that will provide the greatest support for your plan are safe investment type products that offer the double benefit of tax relief and monthly compounded interest earnings. One such instrument is the OMNI EDUCATOR offered by NCB Insurance Company Limited (NCBIC). In addition to the tax free interest benefits and the monthly compounded interest earnings, the value-added feature of the OMNI EDUCATOR is the 20% paid by the company upon enrollment of your child into an accredited local or overseas tertiary institution.

The grant paid by NCBIC is calculated as 20% of the policy's Accumulated Value that results from the eligible premiums. The first $100,000 of Contractual Premiums per year, to a lifetime maximum of $1.8 Million are eligible for this Grant. Another major feature of the OMNI EDUCATOR allows parents to invest lumps sum amounts starting at a minimum of J$10,000. Interest on these lump sum amounts are also paid tax free up to $1M per annum. In the event that you started to plan late, the lump sum facility offered by the OMNI EDUCATOR is very effective in providing an accelerated investment plan that will still allow you to source the required finances.

With OMNI EDUCATOR, parents can avoid the stresses of struggling to find resources to fund their children’s tertiary education by starting early with a manageable savings and increasing that amount as disposable income increases over time. This can be combined with utilizing the lump sum facility to accelerate the growth of the investment especially where there is limited time before your child commences tertiary studies.        

For further information on how to begin saving toward a financially sound future for your child, please call 1-888-MY-NEEDS, where one of NCBIC’s knowledgeable advisors will be happy to introduce you to NCBIC’s diverse suite of insurance products.