Education fund refers to a financial management way to save education expenses for children by investing in fixed investment funds, bank deposits and education savings, and education insurance of insurance companies. Can obtain relatively stable income, its risk is low, safe and reliable.

The role of education fund:

1, "free of charge" function

The so-called "premium exemption" function means that once the insured's parents encounter misfortune, death or total disability, the insurance company will waive all unpaid premiums and their children can continue to receive protection and assistance.

2, the function of compulsory savings

Parents can choose insurance and quota for their children according to their own expectations and their children's future education level. Once the education insurance plan is established for children, they must deposit the agreed amount every year to ensure that this savings plan can be completed.

3. It has the guarantee function of insurance.

Once the insured dies of illness or accident and has a high risk of disability, the child's education fund plan and premium cannot be retained, but the original rights and interests of the policy remain unchanged, and the expenses for future education can still be provided for the child.

4. It also has the function of financial dividend.

It can resist the influence of inflation to a certain extent. Generally, it is paid by installment, and the payback period is longer.