I’m seeing tuition insurance as anywhere ranging from 1 - 2 1/2 % of tuition. What are the pros and cons of taking the insurance? It seems to be required for some schools.
At the private day school my kids attended, as well as at Mercersburg, the insurance is only required of you do not opt to pay the full tuition in July. We are very fortunate that we are able to pay in full in July, so over the past 10 years we have never purchased it.
When we signed the contract for Mercersburg this year, we grappled with the option to purchase the insurance. I think the insurance was about 4% of tuition, so it was not a small amount. Ultimately we decided not to take it this year.
From what I understand, insurance policies vary greatly on what is a covered reason for withdrawal, what paperwork needs to be provided in the event of a withdrawal, and how much they will refund you after all is said and done. Be sure to read through all the details carefully so you know what you are getting.
Our school required this if paying in instalments.
Like @dramakid2 , we were in the fortunate position of being able to pay the full tuition in July so the choice was ours. We did not take it and we were fortunate that a major illness or injury never required withdrawal (because then we would have regretted that decision!) That was what worried me the most!
Look carefully at what is covered. You need to understand what happens if your child is kicked out for disciplinary or academic reasons. You also need to know whether you can voluntarily withdraw from the school and be covered. There are a few kids every year who start at BS and for one reason or another, find it is not the right place for them.
For sure, I would be very unhappy writing that instalment check to a school when my kid no longer attended, for whatever reason. And it would be particularly hard if I had high medical bills for that kid at the same time.