Family FAQ

How does the program work exactly?

The school is the TuitionNetSM policyholder. Each year, the school selects refund percentages for the different types of withdrawal (voluntary, dismissal, Medical – Psychiatric, and medical), and pays an annual premium to join TuitionNet. Parents participating in the program pay a fee to the school to ensure that their children are included in the coverage. In the event of a covered claim, benefits are paid to the school to be credited to the student’s account. In other words, if your son or daughter withdraws for a covered reason, TuitionNet pays the school the selected refund percentage of the “unused portion” of the tuition.

For example, let’s say

1) you’ve contracted to pay $40,000 for your child’s tuition, room, and board for the year;

2) you’re participating in the TuitionNet program;

3) your school has selected a 75% refund percentage; and

4) your child voluntarily withdraws from school in the fall—with 80% of the coverage year still remaining.

Under this scenario, TuitionNetSM would pay the school $24,000 according to the following calculation:


If you had unpaid tuition obligations, the school would use the claim proceeds to help settle the outstanding portion of your account, returning any residual funds to you. However, if you had already completed all of your contracted tuition payments, the school would return the entire claim proceeds—in this case, $24,000—directly to you.

Is participation required of families?

Each school sets its own policies on whether participation is required or optional. Please reference your enrollment agreement and associated materials to understand your school’s participation policy.

How much does it cost to participate?

The premium paid by each school varies each year. Thus, the fee a school charges its families also varies annually. The fee is always based on a percentage of contracted tuition (including any room, board, and insured fees). The cost for the forthcoming academic year is detailed in your enrollment materials.

What is the “coverage year”?

The coverage year refers to the covered portion of the academic year. With some exceptions, it generally begins fourteen (14) days after the start of classes (the 15th academic day) and ends on the final instructional day of the school year. Days of pre-season athletic practice, orientation, registration, and graduation are not considered class days.

How are claims handled?

The name of each student is listed on a policy which is held by the school business office, not as agent for TABS Insurance, Inc., but on behalf of covered students and their parents. In the event of withdrawal, schools file claims electronically. Claims must be received within 30 days of the date of separation. Typically, the TuitionNet program processes and pays claims within three (3) business days of receipt. Benefit payment is made to the school and credited to the affected student’s account. The school then returns to the family any excess funds not required to settle the student’s account with the school.

This is a broad description of the program for the forthcoming academic year. Actual coverages are governed by the insurance policy on file in the school’s business office. Schools renew their policies each year, and thus the specific coverages, terms, limitations, and definitions are subject to change each academic year. Reach out to your individual school for more information.

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