13/11/2025
1. ๐๐ก๐ ๐๐ก๐๐ฅ๐ฅ๐๐ง๐ ๐: ๐๐ก๐ ๐๐จ๐๐ซ๐ข๐ง๐ ๐๐จ๐ฌ๐ญ ๐จ๐ ๐๐๐ฎ๐๐๐ญ๐ข๐จ๐ง
The primary hurdle is that education costs are rising much faster than typical salaries or standard savings accounts.
Financial experts in the Philippines estimate that tuition fees increase by an average of 10% per year. This is known as "education inflation," and it's often much higher than the regular inflation rate for groceries and utilities.
To put this in perspective:
Today: A 4-year degree at a top private university in the Philippines can cost between โฑ800,000 and โฑ1,200,000.
In 10 Years: Due to the 10% annual increase, that same 4-year degree could cost between โฑ2,000,000 and โฑ3,100,000.
Simply putting money in a regular savings account, which earns less than 1% interest, makes it mathematically impossible to keep up.
2. ๐๐ก๐ ๐๐ข๐ ๐ ๐๐ฌ๐ญ ๐๐ก๐๐ฅ๐ฅ๐๐ง๐ ๐: ๐๐ก๐ ๐๐ง๐๐จ๐ซ๐๐ฌ๐๐๐ง "๐๐ก๐๐ญ ๐๐๐ฌ"
This is the challenge that truly threatens to derail a child's education, and it is what Life Insurance are designed to address.
The biggest challenge is the risk of the parent, the provider - being taken out of the picture.
What if a parent suffers a critical illness (like cancer or stroke)? The family's income often stops, and all existing savings, including the education fund, are diverted to pay for massive medical bills. The education plan is wiped out.
What if a parent passes away too soon? The family's primary source of income disappears. Not only does saving for education stop, but the family may struggle to even cover daily expenses.