As any parent with a child in college knows, all colleges have chosen different options for opening (or not opening) this fall.

Many colleges originally planning to bring students back to campus for the fall semester switched to online-only instruction because of Covid-19. Smith College, Mount Holyoke College and Berklee College of Music, among other institutions, announced that they will not reopen for in-person instruction during the fall 2020 semester.

However, other schools simply delayed the start of the school year: The University of Maryland, Brown University, Miami University in Ohio, Illinois State University, the University of California-Merced and others delayed in-person start dates. Some colleges plan to invite students back to campus in October at the earliest, according to the website Inside Higher Ed

However, despite Covid-19 concerns, many colleges and universities opened doors for on-campus learning this semester—on time—and the inevitable has happened: Students have spread the virus despite mask requirements, rules against large group gatherings and other restrictions. 

College And University Response
On September 14, the University of Arizona in Tucson, along with the local health department in Pima County, Arizona, recommended students on campus and near campus shelter in place for 14 days because of a rising number of Covid-19 cases. (Students can travel to certain activities like essential in-person classes and purchase necessities like food or medication that can’t be delivered.) 

Some colleges and universities quickly turned to quarantining and restricting movements of students. Some have gone as far as expelling students for not following Covid-19 safety guidelines. Others are contemplating closing campuses and moving online.

The takeaway: The first full semester of “College in the Era of Covid” is a work in progress. Policies and procedures for how schools manage tuition and fee levels and things like refunds are not entirely set in stone. The procedures for safety and rules for handling infractions vary widely from school to school, as do policies for how to handle discipline when rules are broken. 

In addition, all colleges and universities have different refund policies, and in some circumstances, families may not see a refund at all. About 85% of parents and students in an Ipsos poll for Allianz Global Assistance said they would be hurt financially if there were no refund at all.

College Refund Policies
So what refund policies exist? 

When a student withdraws, college refund policies are different than they would be in cases of a student’s expulsion (for not following Covid rules, for instance). The policies generally follow these guidelines:

• When a student withdraws during a semester (because of illness or for some other reason) the college’s refund policy may include reimbursement, especially if the student withdraws within the first month.
• Colleges and universities typically offer refunds on a sliding scale. Most schools won’t give any money back at all after the fifth week of classes.
• On the other hand, if a student is expelled for a specific cause, such as not following the college’s Covid-19 guidelines, there’s no refund. 

Most schools are developing policies as the semester unfolds, which can lead to a sense of unfairness felt by students and families. But universities maintaining some aspects of a residential experience are walking a fine line, trying to keep their communities safe but also trying to balance that by being flexible with college students who, in normal situations, usually push the rules.

Tuition Insurance To The Rescue?
Tuition insurance, also known as tuition refund insurance, provides refunds for students withdrawing from school for medical reasons. But it doesn’t apply if a student leaves for academic reasons or for disciplinary reasons (like expulsion) or because they can’t afford the costs. 

Because students who withdraw in the middle of or late in the semester may not receive any tuition reimbursement at all, tuition insurance can handle the amount not covered. It can also cover the room and board fees excluded from college refund policies. 

 

GradGuard, a tuition insurance company, currently provides tuition insurance to students at more than 300 colleges and universities. GradGuard’s plans exclude epidemics but the insurer issuing the policies, Allianz Global Assistance, announced it would cover students who had to withdraw in the spring after contracting the coronavirus.

Certain rules on pre-existing conditions exist as well. Tuition insurance policies commonly exclude the following:
• Any loss, condition or event that was known when the policy was purchased;
• Professional sports participation;
• Extreme sports (like skydiving, bungee jumping and mountain climbing); and
• Drug abuse.

Some insurance policies exclude:
• Suicide or self-inflicted injuries
• Pregnancy

Furthermore, families who purchase tuition insurance should check the policy—most do not cover for classes moving online.

Don’t forget to check the tuition insurance carrier’s Covid-19 policy. Tuition insurance is a great choice for many families—it’s applicable in the unfortunate situation that a student falls ill with coronavirus. However, don’t expect it to cover other Covid-related problems, such as when a student withdraws only from the fear of getting Covid-19.

Can Students Get Room And Board Refunds?
Most colleges that moved online this spring refunded room and board but didn’t offer tuition refunds

A number of class-action lawsuits appeared throughout the spring and summer, even against elite universities like Brown, Emory, Columbia and Georgetown, as well as major public university systems like the University of North Carolina. The students who led the outcry believed they weren’t getting the education they expected and paid for. 

Expect the same room and board refund policy if schools opt to move online later in the semester. 

Many schools have added clauses that say they do not offer refunds for room and board if the school needs to close. Others have said they may need to charge more for online classes to support the technology investments. 

Questions To Ask
It’s smart to get on the phone with a college or university representative if families have current students enrolled in college. Prospective families should also ask the following questions:

1. What is the college or university’s room and board refund policy? 
2. Is it possible to get a tuition refund if a student withdraws? What is the “sliding scale” of the refund-to-withdrawal time line?
3. What are the college or university’s current Covid-19 policies?
4. What disciplinary action occurs if a student doesn’t follow the Covid-19 policies?
5. What are the student loan options with the CARES Act?
6. Are there more options to pay for college if families’ employment situations have changed? Can the financial aid office take another look at the student’s financial aid package?
7. What are some ways students can make money in college or through off-campus jobs?

Understand It All
Covid-19 policies, refund policies, tuition insurance—it may seem like a dizzying array of new rules and not-too-clear policies. 

The best bet for most families is to understand exactly what current policy is at their students’ school and make decisions accordingly. That way, families can minimize surprises if classes move entirely online, if their student falls ill or if the student experiences disciplinary action.

Kevin Walker is the CEO and publisher of CollegeFinance.com.