An annuity paid to the children of a deceased member until the end of their studies, as a rising percentage of the lost parent's salary.
A surviving child education benefit pays the children of a deceased member a periodic income until the end of their studies, where a lump sum death benefit pays a single amount to named beneficiaries. The difference is not merely one of form: a lump sum is spent, badly invested or dissipated, while a dedicated annuity follows the child to the end of schooling and withstands whatever happens to the surviving household. Its amount is expressed as a percentage of the lost parent's annual salary, in rising age bands, because the cost of a child grows over the years and peaks during higher education. It is often paired with a spouse's annuity, and it is almost always carried by a group scheme rather than an individual policy, which makes it dependent on the employment relationship still existing at the date of death. The problem solved is a loss that does not end with the bereavement but spreads over fifteen or twenty years, and which a single payment protects poorly.
OCIRP, a French union of protection institutions founded in 1967 and specialized in these benefits, pays education annuities generally running to age 18, extended to 26 where the child stays in education. The scales rise by age band, on the order of 5% of the parent's annual salary for the youngest, 10% in adolescence and 15% during higher education.
rente temporaire d'éducation, garantie orphelin