University Fees Insurance

A unique policy that pays university fees and living expenses should you or your spouse die and where the policy benefit is paid directly to the university and student within a tax and probate efficient structure

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Although many students work as much as is practicable, parents also try to mitigate their children's growing levels of debt with financial help. So how well would your children cope financially without you if you were to die or become terminally ill?

The University Fees Insurance scheme fills this financial gap for children of members who have died or develope a terminal illness. It provides benefits of £15,000 per year for up to four years whilst the child is at university and £3,000 during a gap year.

University Fees Insurance has been designed to compliment Schools Fees Insurance and if you have been a member of the latter then you can join University Fees Insurance without any additional medical or lifestyle questions/underwriting.

Key features

  • Unique tax and probate efficient structure enabling proceeds to be kept out of the deceased estate
  • Coverage against death and terminal illness
  • Automatic fee tracker that increases the claim benefits by inflation (Retail Price Index)
  • No medical underwriting or lifestyle questions if you have previously been a member of School Fees Insurance
  • Cover can be purchased simply and securely on-line

Please view the terms and conditions for a full explanation of cover and look at the FAQs or contact us if you have any questions.

Monthly premiums (per student) as of May 2019

One parent


Both parents


Annual benefits (per student)

Gap year


First year at university


Second year at university


Third year at university


Fourth year at university



Who can buy this insurance?

You must be a UK or Crown Dependency citizen or a citizen of one of the member states of the EU/EEA or a foreign national ordinarily resident within the UK / EU / EEA.  Citizens of Hong Kong, Singapore, UAE, USA, Canada and Russia are also permitted to join.  If you are a resident of any other country please contact us to determine if you are eligible to join.

I am a member of School Fees Insurance and I wish to simply continue the cover for when my child is at university – what should I do?

If you are an existing member of School Fees Insurance you will be sent the information about University Fees Insurance at the beginning of the summer term before your child leaves school at 18. This is an extension to the School Fees Insurance (formerly SFTS), which means that we can continue cover without any further questions about your current health (any previous pre-existing conditions will still apply). Unless you tell us that you wish to cancel your policy we will collect your new monthly premium at the beginning of May. The Scheme will terminate automatically when your child reaches 23. You may terminate cover at any time giving 30 days notice in writing.

I have not been a member of School Fees Insurance but wish to join the University Trust Scheme – how can I join?

If you have not been a member of School Fees Insurance then you may join the scheme buy purchasing cover on-line.

What level of benefit is available under the scheme?

During a gap year the policy benefit is £3,000 per year and this increases to £15,000 per year for four years whilst at university. This is paid on a termly basis in September, January and May.

Who insures University Fees Insurance?

The Scheme is underwritten by Unum Ltd. The Scheme is designed and managed by SFS Group Ltd, incorporated in 1989, and all premiums are paid to SFTS Trustees Ltd, a specialist trust company that SFS Group use for the collection of premiums and payment of claims.

What is the legal structure of the University Fees Insurance?

It is established by Trust deed as a Trust for the benefit of its members (parents). Its Trustee is SFTS Trustees Ltd, a company regulated by the FCA whose director is a partner with Gowling WLG, solicitors. The Trustee collects contribution and pays out benefits to universities and students.

These liabilities are insured with Unum, a specialist insurer of such schemes. SFS Group Ltd is appointed by SFTS Trustees to manage the Scheme on its behalf.

Are there any age limits to join?

Yes, a parent must be aged 60 or under when they buy this insurance. This does not apply to existing members of the School Fees Insurance.

When does cover start under the Scheme?

Cover starts for existing members of School Fees Insurance who are continuing cover in the University Fees Insurance in May of the academic year in which a child reaches 18. If you are a new member cover will start from the 1st of the month in which we collect your first contribution.

How much will it cost to insure both parents?

We automatically give you a 10% discount on the second insured person.

If I pay the first premium, but a month later decide not to proceed with this insurance, can I cancel this policy?

Yes, we will give a refund of the first premium already paid. Normally it is the responsibility of the parent to give SFS Group 30 days notice of cancellation in writing. NB It is, regrettably, not possible to give a refund for other past periods of cover if you decide to cancel at a later date.

What happens in the event of a claim?

Your dependants forward your certificate of insurance, the death certificate and the birth certificates of both the insured and the student. Benefits will be paid to the student or university from the beginning of the following term.

What happens if my child moves university while a claim is being paid?

The benefits follow them from university to university even if it is an university abroad. Please note, the benefits can only be paid in Pounds Sterling (GBP).

What happens if my child leaves university entirely while a claim is being paid?

Any remaining benefits would be paid into the School Fees Charitable Trust to help other parents.

When does the Scheme end?

You may end it at any time by giving us 30 days notice in writing. The scheme ends in the April of the academic year that a student reaches 23.

What is my commitment?

To provide us truthfully with all relevant information when joining the Scheme and to pay your monthly contributions. To advise the SFS Group in writing of any change of circumstances, i.e. change of university, change of address or cancellation of policy.

Click here to download the Terms and Conditions PDF.

These Terms and Conditions are for policies purchased after 1st April 2017. If you need the Terms and Conditions for policies incepted before this date please call 01306 746300 or email us at

To speak to an advisor email us on or call us now on 01306 746 300