Child Education Insurance Plan Market Report 2026

The child education insurance plan market size has grown rapidly in recent years. It will grow from $6.79 billion in 2025 to $7.5 billion in 2026 at a compound annual growth rate (CAGR) of 10.5%. The growth in the historic period can be attributed to increasing awareness of education cost inflation, rising household savings for child education, expansion of life insurance penetration in emerging economies, growth of structured long-term savings products, increased role of banks and agents in insurance distribution.

The child education insurance plan market size is expected to see rapid growth in the next few years. It will grow to $11.06 billion in 2030 at a compound annual growth rate (CAGR) of 10.2%. The growth in the forecast period can be attributed to rising digital insurance adoption, increasing preference for unit-linked education plans, growing focus on personalized financial planning, expansion of online insurance distribution channels, increasing demand for education-specific financial security solutions. Major trends in the forecast period include increasing adoption of goal-based education planning products, rising demand for flexible premium and payout structures, growing integration of digital policy management platforms, expansion of investment-linked child education plans, enhanced focus on long-term wealth protection.

The rising cost of education is expected to drive growth in the child education insurance plan market. Education costs encompass the total financial outlay for a child’s academic journey, including tuition, books, transportation, and accommodation. These costs are increasing due to rising institutional expenses such as faculty salaries and infrastructure upgrades aimed at meeting global academic standards. Child education insurance plans help alleviate the financial burden by enabling parents to systematically save and secure their child’s educational future through long-term financial planning. For example, in October 2024, a report from College Board, a US nonprofit organization, revealed that the average published tuition and fees for full-time students at private nonprofit four-year colleges in 2024-25 reached $43,350, marking a $1,610 (3.9%) increase compared to 2023-24 before inflation adjustment. Therefore, growing education expenses are fueling the demand for child education insurance plans.

Key companies in the child education insurance market are focusing on innovative offerings such as non-participating individual savings insurance plans that provide guaranteed returns and flexible premium payment options. A non-participating individual savings insurance plan is a life insurance policy offering fixed, guaranteed returns without participation in the insurer’s profits or bonuses. For instance, in February 2024, Life Insurance Corporation (LIC), an India-based insurer, launched LIC Amritbaal, a non-linked, non-participating savings life insurance plan designed to help parents secure a guaranteed financial corpus for their child’s higher education and future needs. The plan offers guaranteed additions of about $0.96 (Rs 80) per $12.0 (Rs 1,000) of the basic sum assured annually throughout the policy term. It also offers flexible premium payment options, including a single lump sum or limited payments over 5, 6, or 7 years. Children can be enrolled from 30 days to 13 years of age, with the policy maturing when the child is between 18 and 25 years old.

In February 2024, Bandhan Financial Holdings, an India-based financial services company, acquired Aegon Life Insurance for an undisclosed amount. Through this acquisition, Bandhan Financial Holdings aimed to strategically expand into the life insurance sector, broadening its financial services portfolio and enhancing distribution capabilities by integrating Aegon Life’s digital insurance platform with Bandhan’s extensive customer network. Aegon Life Insurance Company is an India-based digital life insurance provider offering products such as child education insurance plans, enabling accessible and technology-driven insurance solutions for a wider customer base.

Major companies operating in the child education insurance plan market are Allianz SE, AXA S.A., Citigroup Inc., Life Insurance Corporation of India, Metropolitan Life Insurance Company, MetLife Inc., Prudential Financial Inc., Zurich Insurance Group Ltd., Chubb Limited, Massachusetts Mutual Life Insurance Company, Sun Life Assurance Company of Canada, Manulife Financial Corporation, ICICI Prudential Life Insurance Company Limited, HDFC Life Insurance Company Limited, Aditya Birla Sun Life Insurance Company Limited, Kotak Mahindra Life Insurance Company Limited, Reliance Nippon Life Insurance Company Limited, Tata AIA Life Insurance, Bajaj Allianz Life Insurance Company Limited, AIICO Insurance Plc, CBZ Holdings.

North America was the largest region in the child education insurance plan market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the child education insurance plan market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the child education insurance plan market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The child education insurance plan market includes revenues earned by entities by providing services such as life insurance coverage, participating whole life Insurance, partial withdrawals or loans, and customizable policy terms. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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