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Child education	Premiums	Premium waiver	Potential bonuses?
5 to 20 years	Monthly quarterly semi-annually	Yes	Yes

Here's what you get:

• Enjoy flexible premiums to suit your budget and preferred levels of risk
• Borrow up to 80% of the cash value of your plan, before the end of your plan
• Be paid a potential bonus when your investment achieves a higher return

Plus:

• You have an option to waive the premium if you die or become permanently disabled
• You will distribute your plan to your loved ones, if you pass away
• Your contributions are invested by ALICO Gulf and your returns are preserved against any investment losses

 

Here's an example provided by ALICO Gulf based upon a 30 year old male

The above table is provided by the product provider ALICO Gulf and only for illustrative purposes

 

You are eligible for the Education Plan if:

• You're over 25 years old
• Your child is aged between 0 and 12 months
• Your child's college entry age is between 17 to 20

 

Can I stop the Education Plan at anytime? If so, what do I receive?

If you stop your contributions during the Accumulation Phase and your Policy has acquired an Encashment value*, your scheduled payout will be scaled down and the plan will continue without requiring any further contributions.

You may also choose to surrender the policy. Therefore, if the plan has acquired a Surrender Value, you would receive it as a lump sum fee, which in the first few years could potentially be less than the amount you have contributed.

How much should I contribute to the HSBC Education Plan?

Your Relationship Manager will advise you of the premium you should contribute to the plan, based on the savings plan you are trying to meet.

Alternatively, you can tell us how much you are comfortable to contribute on a regular basis. Based upon this amount, ALICO will be able to tell you what your returns will be at plan maturity.

What if I die before my child reaches college?

In the unfortunate event of your death during the accumulation phase, the Plan will remain active and contributions will still be required until the policy matures. For these reasons, the optional Family Protection Agreement is recommended, which waives all remaining premiums until policy maturity in the event of death or disability.

But, if the policy has acquired a sufficient Encashment Value* and no one is able to contribute for your child, ALICO will scale down the schedule payout and enable the plan to continue without requiring any additional contributions. In case your heirs choose to surrender the policy after it acquired a surrender value, they would receive it as a lump sum payment which can be less than what you've contributed. If the unforeseen happens to your child, the beneficiaries of the plan will receive a pro-rata lump sum of the agreed amount.

*The Encashment Value is the Basic Cash Value of the policy plus accrued Excess Interest Bonuses to date.

What if I die while my child is in college?

In the regrettable event of your death while your child is in college, ALICO will continue paying the agreed annuities as given in the policy.