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Educational Safety Net For Children
Educational Safety Net For Children
Published 08-19-04
Submitted by MassMutual Financial Group
The program is simple: If a parent dies within the policy term, MassMutual will put $50,000 in trust to pay solely for the educational expenses of the parent's dependent children. MassMutual has so far given away more than $100 million in insurance. To obtain an eligibility form, people can call MassMutual toll-free at 1-800-272-2216.
"Experience tells us that some of the people who believe most fervently in the protection that life insurance offers are often those who can least afford it," said Robert J. O'Connell, chairman, president and chief executive officer of MassMutual. "We want to create a level playing field for children who might otherwise be deprived of an education if their parent dies during the term of the policy."
Various types of schools qualify for reimbursement under the program including, but not limited to, pre-school, private school, vocational school, community college, universities, art and music schools or graduate schools. Some of the educational expenses covered include books, tuition, and room and board.
"We're trying to ensure that access to educational opportunities exists for children of working families and not just those who are lucky enough to have parents with adequate financial means," O'Connell added. "There is absolutely no cost to the insured for a policy under the LifeBridge program. This program is solely philanthropic and completely free."
To be eligible to apply for a term life insurance policy under the LifeBridgesm program, applicants must meet all criteria for acceptance into the program. Eligible applicants must be:
- between the ages of 19-42 (inclusive);
- a permanent, legal U.S. resident;
- the parent or legal guardian of one or more dependent children under the age of 18;
- currently employed - either full- or part-time - and have a family income of between $10,000 and $40,000 on their most recent income tax return; and
- in good health, as determined by MassMutual's underwriting guidelines.
If the insured parent or legal guardian dies during the 10-year term of the policy, the $50,000 death benefit per policy will be applied solely toward the education of the children named as beneficiaries. The money will be paid to a trust administered by the MassMutual Trust Company, FSB that will reimburse the educational institutions attended by the children.
"Education is a key ingredient in the recipe for success," added Cindie St. George, director, LifeBridge Operations. "Our goal is to make it easier for students to attain an education if their parent is no longer living, and thus unable to provide any financial help. We want to do our part in helping ensure money for education is available if a parent dies during the term of the policy."
In addition to its LifeBridge program, MassMutual will fund $525,000 in college scholarships over the next three years as part of a program with the US Tennis Association (USTA). Beginning with graduating high-school seniors in 2005, MassMutual will offer through the USTA's Education and Tennis Foundation a total of 105 college scholarships - at least two scholarships to students in each of the 17 USTA sections. In its local home office communities in Massachusetts and Connecticut, MassMutual also donates an additional $250,000 per year in scholarships.
MassMutual Financial Group - comprised of member companies with more than $285 billion in assets under management as of year-end 2003 - is a global, growth-oriented, diversified financial services organization providing life insurance, annuities, disability income insurance, long-term care insurance, retirement planning products, structured settlement annuities, trust services, money management, and other financial products and services.
The MassMutual Financial Group is a marketing designation (or fleet name) for Massachusetts Mutual Life Insurance Company and its affiliates, which include OppenheimerFunds, Inc.; David L. Babson & Company Inc.; Cornerstone Real Estate Advisers, Inc.; MML Investors Services, Inc.; The MassMutual Trust Company, FSB; Antares Capital Corporation; MML Bay State Life Insurance Company; C.M. Life Insurance Company; and MassMutual International, Inc. MassMutual is on the Internet at www.massmutual.com.
