14 Educational Plans in the Philippines to Secure Your Child’s Future

If you compute all the expenses, sending your child to college may seem unaffordable. Whether you’re planning to enroll your child in a public or private school, education in the Philippines is not cheap.

But educational plans can help you develop a disciplined savings plan that will pay for your child’s education. And there are many life insurance companies offering some of the best educational plans in the Philippines. Let's explore them in this guide.

What are Educational Plans and How Do They Work?

An educational plan is a savings, insurance, and investment plan that helps parents save funds for their child’s college education.

An educational plan's savings and investment portion builds up a fixed fund for a certain period, and the insurance portion provides life protection for the payor, usually the parent, during the plan term. 

Should anything happen to the payor that results in permanent disability or death, the payor or the beneficiaries (in this case, the child) is guaranteed a payout. 

Upon the educational plan’s maturity, the payor can use it to pay for the child’s college education. 

What is the Importance of Educational Planning in the Philippines?

Educational planning is crucial to ensure that you can pay for your child’s education. With educational planning, you can:

• Set aside money for your child’s education. If you get an educational plan, you make it mandatory to set aside a specific amount for it each month. As each year passes, you’ll save enough to afford your child’s education.
• Save money by avoiding high-interest loans. Because you already have an education plan, you won't need to depend on high-interest loans to pay tuition and other school fees.
• Choose the best education for your child. Once you have an educational plan for your children, you can choose the best learning institution—the cost won’t hinder you.  
• Break barriers in your child’s access to education. With education planning, your child’s education won’t be delayed or impeded due to financial constraints. It’s because your child’s educational plan will cover most, if not all, school expenses.  

👍 Advantages of Getting an Educational Plan

Educational plans can help secure your child’s education. The sooner you get one, the more affordable the premiums and the higher the payout. 

You can also add riders to the educational plan to meet your child’s needs. Riders provide insured parties with additional coverage options^[1] at an extra cost. 

With an educational plan, you don’t need to worry about where you’ll get the money to pay for your child’s tuition. Maturity benefits are usually enough to cover your child’s entire college education. Simply put, your child can still attend college even if you’re no longer around.

👍 Disadvantages of Getting an Educational Plan

Educational plans cost a lot and typically eat up a vast portion of the family budget, especially if the plan has a lot of riders or add-ons. 

Also, educational plans will only cover some of the school fees. You’ll still need to pay for food and transportation allowance, dorm rent, and other miscellaneous expenses out of pocket. 

And since educational plans are an investment, they carry an amount of risk. Hence, you’ll either earn more or just receive the face amount, which is the gross total amount stated in an insurance agreement or policy.^[2]

Are Educational Plans Worth It? 

Yes, especially if you want to ensure your child gets a quality education without worrying about the financial burden.  

It’s every parent’s dream to see their child finish college. But the sad reality is that not all Filipinos can afford the cost of education in the Philippines.

Furthermore, tuition fees today will be different from 10 or 15 years from now. Because of inflation, tuition, miscellaneous fees, and the cost of goods and services will continue to rise. It can be financially challenging to pay for these things when you’re also growing older and future earnings are not guaranteed.

This is where educational plans can help. 

What are the Best Educational Plans in the Philippines?

What are the best options for securing your child's college education? If you want to know the best educational plan in the Philippines, check out this list of recommendations.

📌 Manulife Education Builder 

With Manulife’s Education Builder, you can build your child’s education fund by investing in professionally managed funds. It also comes with life insurance coverage that protects your child’s future and covers their college education no matter what happens, making Manulife educational plan costs in the Philippines worth your money.  

Key Features and Benefits 

• Savings that can fund your child’s college education, whether they choose a four or five-year course 
• Extra protection for your investment should anything happen to you 
• Premium waiver or cash support to your child until age 17 in case of your death or disability 
• Flexible payment period and payment modes 

Pros: You can choose how much, how long you’ll pay for the plan, and how you want to receive the payouts. You can also select the education riders you wish to add depending on your needs. 

Con: As this plan is investment-linked, projected returns are not guaranteed and will depend on market conditions. 

📌 AXA AcademiX

With AXA AcademiX, you can grow and maximize your investment to help pay for the quality education your child deserves. In case of untimely death, your child is guaranteed to receive cash benefits until graduation. 

Key Features and Benefits 

• Life insurance coverage equivalent to the total amount of money in your policy or five times your annual premium (whichever is higher)
• Customizable plan according to your child’s educational fund needs 
• Pay for your plan for at least five years to grow your investment and education fund faster 
• Funds are managed by the Metrobank Trust Banking Group 
• Annual education payout 
• Guaranteed payouts to cover education expenses until your child graduates should anything happen to you
• Bonus amount if your policy is active on the 10th and 20th-anniversary dates 

Pros: An educational plan like this can give you peace of mind and security. It’s flexible enough to meet your needs. Plus, it gives loyalty bonuses for long-active policies. 

Cons: The long-term payment plan may be challenging to commit to. Returns are also dependent on market conditions. 

Related reading: Study Now, Pay Later: How to Get a Student Loan in the Philippines

📌 AXA Academic eXentials

The AXA Academic eXentials plan is a straightforward, easy-on-the-pocket educational plan with guaranteed benefits. Pay the monthly installment plan for five years and decide when you want to receive the cash benefits. 

Key Features and Benefits 

• Can be purchased through an AXA financial advisor or online 
• Affordable premiums starting at ₱1,500 per month
• Guaranteed annual education benefit payouts in only five years 
• Guaranteed total cash benefits starting from ₱124,000 
• Additional yearly cash benefit until scheduled benefit payout in case of untimely death 

Pros: It’s an affordable and easy-to-understand educational plan. Pick a plan you can afford, accomplish the form, settle the payment, and you’re done. 

Con: When it comes to benefits, it offers only the basics. 

📌 AIA Future Scholar 

Are you planning to get a Philam educational plan in the Philippines? Philam Life rebranded to AIA Philippines in 2021. You can check out the AIA Future Scholar plan, a life insurance product with an investment component that can be an excellent solution for parents building an education fund. 

It offers guaranteed education benefits at affordable premiums starting at ₱20,000 annually. 

Key Features and Benefits 

• Eight semi-annual guaranteed cash payouts starting at age 18 for four years of education 
• Expertly-managed funds 
• Long-term growth potential 
• Plan continuation benefits should you suffer total and permanent disability or if you pass away 
• Option to pay in five years or until your child turns 17 years old 
• Additional option for parents to avail of Philam Life’s term life insurance 

Pros: This is an affordable product if you want to ensure your child’s education in the future. It provides life protection and guarantees cash payouts when your child turns 18.  

Cons: The issue age for parents is up to 55 years old only. And the ₱20,000 minimum premium payment is only for annual payment modes. For monthly, quarterly, and semi-annual modes of payment, the minimum premium is ₱30,000. 

Related reading: College Scholarships in the Philippines Parents and Students Should Know

📌 Insular Life Basic Assure10 

The Basic Assure10 from Insular Life offers guaranteed cash benefits for your future goals, which include sending your child to a good school. It’s a savings and insurance plan that you only need to pay for 10 years with coverage for 20 years. 

Key Features and Benefits 

• Guaranteed cash payout of 7.25% of the sum insured at the end of the fifth policy year (and every other year after until the 19th year)
• Lump sum cash at the end of the policy’s 20th year, equivalent to 100% of the sum insured
• Double life protection starting in the sixth year of the policy
• Offers more competitive earnings than the usual savings instruments 
• Provides financial protection and assures your child’s education no matter what
• Option to add riders to enhance the plan

Pro: It has a guaranteed cash payout for your children’s needs in the future while you enjoy maximum protection through its life insurance coverage.  

Con: You only get coverage for 20 years. 

📌 Insular Life Wealth Assure Plus 

You can personalize Wealth Assure Plus,  an investment-linked life insurance plan, to help you build funds for your child’s education. 

Key Features and Benefits 

• Customizable plan for your time-bound goals, such as your child's education
• Higher living benefits through top-ups 
• Increased insurance benefit with optional term insurance booster
• Cost-effective investing for as low as ₱500 monthly top-up
• Financial protection that assures your child’s education no matter what happens   
• Option to add riders to enhance the plan 

Pro: It can help grow your money quickly and provide life insurance protection as you build your child’s education fund. 

Con: This is an investment-linked plan, so projected returns are not guaranteed. 

📌 Sun Dream Achiever 

This savings plan and life insurance product from Sun Life helps parents like you save up for your child’s education while also giving you and your loved ones financial security. It provides guaranteed cash benefits, so you won’t have to worry about paying for your child’s needs in the future. 

Key Features and Benefits

• Life insurance coverage throughout the policy
• Option to add riders for additional protection for contingencies (disability, accident, etc.)
• Flexible premium payment options 
• Available in annual, semi-annual, quarterly, or monthly terms (monthly payments through auto-debit or auto-charge) 
• Personalized payout schedule anytime between the 12th to the 17th year of the policy’s effectivity date  

Pros: This flexible plan combines life insurance, savings, and educational plan. This can help address any financial emergency or need in the future. 

Con: The long-term payment commitment can be daunting for some Filipinos whose financial capabilities can change anytime.

Related reading: Buying School Supplies? 6 Money-Saving Hacks for Matipid Parents

📌 Sun FlexiLink by Sun Life

This investment-linked life insurance plan allows you to pay for your child’s education while enjoying life protection. It also offers different investment options to help grow your money over time to pay for school expenses and secure your family’s future. 

Key Features and Benefits

• Life insurance benefit equivalent to at least the plan’s face amount
• Option to add riders for additional protection for contingencies (illness, disability, or accident)
• Investment fund options depending on your risk appetite and investment goals 
• Professional fund managers to help you grow your money
• Allows you to build funds for all your future needs, including your child’s education or your retirement
• Option to make a partial fund withdrawal for emergencies 
• Easy top-ups anytime to increase your fund’s value
• Loyalty Bonus if your policy is active for at least 10 years 

Pro: It’s a flexible plan that you can use for your child’s education, other financial goals, and even emergencies. 

Con: Like the Sun Dream Achiever, it’s a long-term payment commitment that may not be suitable for Filipinos who prefer short-term payment periods. 

📌 Sun Smarter Life Elite 

This protection and savings plan from Sun Life provides double life insurance coverage and cash benefits, which you can use to fund your child’s education needs. 

Key Features and Benefits 

• Life insurance coverage up to age 100 or maturity 
• Insurance benefit worth twice your plan’s face amount
• Guaranteed cash benefits in your lifetime starting on your plan’s sixth year and every two years subsequently
• Option to accumulate cash benefits to use for future needs 
• Living benefits like dividends that you can use for emergencies, paying future premiums, or increasing insurance coverage

Pro: You enjoy lifetime guaranteed cash and living benefits that can be helpful in different financial emergencies or expenses. 

Con: The grace period for this type of plan is only 30 days. 

📌 PRULink Elite Protector Series

Aside from enjoying life protection, the PRULink Elite Protector helps you save, invest, and build funds faster to meet all your major financial goals, including paying for your child’s education. 

Key Features and Benefits 

• Payable in five, seven, 10, or 15 years in PHP or USD 
• Coverage up to age 100 
• Eligible for applicants aged seven days to 70 years old
• Maximum life protection and death benefits 
• Greater potential for wealth accumulation
• Loyalty bonus for years 11 to 15 that you can use to increase your policy’s fund value 

Pro: It’s a flexible savings and investment option if you have medium to long-term financial goals, like funding your child’s college education, purchasing a house, or even building a retirement fund.

Cons: Since this is an investment-linked product, projected returns are not guaranteed. The investment is affected by market conditions. Additionally, you must top up more frequently and pay higher premiums to build your funds faster.

📌 PNB AZpire Wiz

The PNB Azpire Wiz is an educational plan linked to an insurance policy. For as low as ₱2,500 per month, you’re assured that the plan will answer all of your child’s educational needs. 

Key Features and Benefits 

• Life insurance protection for your child with coverage of up to five times the educational plan premium
• Option to switch investment plans up to four times a year 
• Raise your investment funds and choose to earn through regular or lump sum top-ups 
• Additional 5% bonus of your total fund value for the last 120 months
• Additional 2% of your premium when you start to pay from your sixth year onwards

Pros: You can enjoy lower fees on premiums when you save more and additional bonuses when you continuously pay your premiums. The premiums are also easy on the pocket.  

Con: As this is a unit-linked insurance product, many factors can affect its fund value.

📌 PNB Allianz Achievers 

You can help your child achieve their dreams by purchasing a five-year educational savings plan like the PNB Allianz Achievers. Send your child to the best school by paying the premiums for just five years. Aside from the education fund, your child is protected with life insurance until 21 years old. 

Key Features and Benefits

• Five years to pay and a minimum policy amount of ₱200,000
• Life insurance coverage equivalent to 200% of the face amount for your child until 21 years old
• Annual, semi-annual, and quarterly modes of payment
• Issue age from seven days old to 12 years old 
• Ascending endowment payouts after the five-year payment period: 
• Age 17 = 40% of policy amount 
• Age 18 = 45% of policy amount
• Age 19 = 50% of policy amount
• Age 20 = 55% of policy amount
• Graduation Bonus of 20% of total basic annual premiums and accumulated dividends  

Pro: Total benefits range from 220% to 240% of the policy amount. 

Con: The short payment period and minimum policy amount can be financially challenging for parents on a tight budget. 

📌 Singlife Cash for Goals (Education)

To help you become financially ready for your child’s future, Singlife offers Cash for Goals (Education). Your money is invested in the Singlife Smart Investment Fund, a peso-denominated investment-linked fund, which allows you to save and grow your money and hit your goal amount (up to ₱500,000) by the time your child enters college. 

You also have the option to withdraw funds during emergencies without charges. It’s a life insurance and investment product that can help secure your child’s future no matter what happens. 

Key Features and Benefits

• Budget-friendly at a low cashout of only ₱2,500 (one-time initial investment) and additional investments at ₱500 per month 
• Automatic deduction of premiums from the parent's GCash account
• Option to make a partial fund withdrawal for emergencies without any charges
• Financial protection that assures your child’s education no matter what happens 
• Offers more competitive earnings than traditional savings accounts

Pro: It’s one of the cheapest educational plans in the Philippines. You can purchase it with a fully verified GCash account for a very affordable price. 

Cons: You must be in the Philippines to purchase a Singlife Cash for Goals policy. Parents should also be no older than 55 to buy this product.

📌 Paramount Direct Dream College Plan

With Paramount Direct Dream College Plan, you pay just one premium to enjoy comprehensive coverage. This educational plan is created for parents or guardians between 20 and 55 years old who have children aged one month to 10 years old. Once your child turns 17, they can enjoy College Cash Benefits and receive a Guaranteed Graduation Gift. 

Key Features and Benefits

• Five-year paying period 
• Issue age of 20 to 55 years old for parents or guardians with dependent children aged one month to 10 years old
• Life insurance coverage until 21 years for your child 
• College Cash Benefit twice a year from age 17 to 20 
• Graduation Gift of up to ₱300,000 at age 21
• Contingent Benefit for your child twice a year until age 16 when you pass away before the end of the payment period
• Annual, semi-annual, quarterly, and monthly payment modes

Pro: It’s a comprehensive yet affordable educational plan where you can choose from four different package options and payment modes. 

Cons: Parents/guardians should be no older than 55 to buy this product, and only children until 10 years old are eligible.

To quickly check your best options for educational plans in the Philippines, just refer to this table summarizing their benefits.

What to Look For When Choosing Educational Plans in the Philippines

👉 Payment Option

Educational plans in the Philippines are long-term financial commitments. Getting one means making sacrifices and putting away a certain amount of money to pay the premiums. 

This is why getting a payment option to match your paying capacity is essential. Choose a payment plan according to your financial capability, whether monthly, quarterly, semi-annually, or annually. 

Also, consider an educational plan’s grace period and reinstatement policies. If you miss a payment, find an educational plan provider to help you continue your plan without too much hassle. 

👉 Withdrawals and Payouts

Insurance providers have different standards when it comes to payouts. Some offer fixed payouts a few years after you purchase the plan or immediately after your plan starts. Others also provide payouts when your child reaches a certain age.

Sometimes, emergencies will require you to withdraw from your policy partially. It’s a good idea to go for an educational plan with this option.

👉 Riders or Add-ons 

Getting an educational plan in the Philippines is already a huge step toward securing your child’s future. But if the budget permits, you may also want to avail yourself of additional layers of protection. 

Additional benefits like hospitalization, critical illness, disability, accidental death, or premium waivers further ensure your child will be financially taken care of when you’re no longer around. 

👉 Fund Growth

Choose a plan that will let your money grow over time. It will allow you to earn more than what you pay while also giving you a comfortable cushion against unexpected emergencies. It will help you achieve your fund goals faster, too. 

👉 Educational Plan Tenure

You want to choose a plan that will cover your child’s entire high school or college education, or both, depending on your needs and preferences. The best way to do this is to get an educational plan while your child is still very young (as young as seven days old) so that you can pay for at least 10 years with premiums that are still affordable. 

Read more: How to Save for College Education? These Extraordinary Women Share Their Experiences

How to Get the Right Educational Plan in the Philippines

Made up your mind about getting an educational plan for your child? If you're ready to avail of a policy, here are some essential steps to ensure you'll get the right one.

1. Choose a school you want your child to attend. After you decide on a school, find out the total cost of education in that school. 
2. Compound that amount with the average increase of tuition and other school fees in the Philippines, which is about 10% year-over-year.^[3] This is how much you need to save for your child’s education fund. 
3. Determine how much you can afford to set aside for the plan and how often you want to make your payments.
4. You don't have to buy the best educational plan in the Philippines at once, especially if you don't know which one to take. You can instead start saving. Consider putting some of your money in the bank, which can earn compound interest over time.
5. If you want additional benefits, decide which ones will be most helpful to your child if you’re no longer around.
6. Shop around for educational plans in the Philippines from different providers and compare packages.
7. Consult a financial advisor from the educational plan provider for more details. Or submit an accomplished online form on the insurance company's website, after which the provider will connect you to one of its advisors.
8. The financial advisor will ask you to fill out forms and make your initial premium payment to process your policy.

FAQs on Educational Plans in the Philippines

1. How much is an educational plan in the Philippines? 

The price varies on several factors, like the insurance provider, policy amount, payment period, and add-on coverages or riders. It will also depend on whether the educational plan has an investment component because it will require you to make top-ups aside from your regular premiums. 

2. What are the inclusions of an educational plan? 

An educational plan should provide a guaranteed lump sum or cash payouts upon plan maturity to help you cover the cost of your child’s high school or college education. Many educational plans also have life insurance coverage with optional add-ons or riders for investment protection.  

3. How long do you pay for an educational plan?

You typically for an educational plan for a minimum of five years or up to 15 years. It depends on how early you get one for your child and how many years before they enter high school or college.

Final Thoughts 

When started early, educational plans in the Philippines can help parents save money. The longer you allow your investments to grow, the bigger the potential returns can be. 

Should you fall on hard times and find it hard to pay the premiums, don’t let your policy lapse. You can charge premium payments to your credit card in the meantime. But settle them immediately to keep credit card balances from piling up and becoming unmanageable debt. 

We hope you can choose the right product from the abovementioned educational plans. Consider your budget, needs, the insurance provider, and the plan’s benefits. And don’t be afraid to ask questions from your financial advisor so that everything is clear to you. 

Sources: 

• ^[1] What is a Rider? (Investopedia)
• ^[2] Face Amount Definition (Insuranceopedia)
• ^[3] Addressing the rising cost of college education in the Philippines (Philstar.com, 2018)