THIRTEENTH CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
) 
‘04 JliL -2 fis! 59 
First Regular Session 
) 
Introduced by Senator Biazon i 
EXPLANATORY NOTE 
Article XIV, Section 1 of the Constitution declares: 
“The State shall protect and promote the rights of all citizens to 
quality education at all levels and shall take appropriate steps to make 
education accessible to all.” 
To implement this Constitutional mandate, the State shall provide the mechanisms to 
broaden opportunities for higher education in addition to what is already provided for in RA 
6014, “The Study Now Pay Later Law”, and RA 6728, “The Government Assistance to Students 
and Teachers in Private Education Act.” 
This bill therefore proposes to further broaden opportunities for higher education by 
enabling qualified SSS and GSIS members to insure the college education of their children 
through the College Education Trust Fund created under this Act. This fund consists of the 
premiums paid by the Member. This bill seeks to guarantee the completion of a basic four year 
or five year college come. 
Coverage under this college education insurance plan is optional for all Members 
regardless of civil status, with or without a child. The benefits provided for under this Act can 
only be availed of by Members who have completed their policy prior to enrollment of the child 
in college. The GSIS or SSS, as the case may be, will pay the college education of the child no 
matter what the cost at the time of enrollment. It is in effect paying for the child’s education 
tomorrow at today’s prices. The payment is made directly to the school, thus preventing the 
funds from being used for other purposes. Included in the benefits are the payment for non- 
standard fees such as materials, books, supplies and even board and lodging expenses that may 
be incurred in the pursuit of such education. This Bill likewise provides for incentives to scholars 
and enrollees of Agriculture, Fishery, Forestry, Science and Technology. 
For many Filipinos, college education remains an elusive dream. So that their dreams 
may come true and to strengthen education as means for upward mobility, passage of this bill is 
urged. 
Senator 


THIRTEENTH CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
1 
’Or, JljL -2 
f\ 9 :fy 
First Regular Session 
1 
Introduced by Senator Biazon 
AN ACT 
ESTABLISHING A COLLEGE EDUCATION TRUST FUND 
FOR CHILDREN OF GSIS AND SSS MEMBERS 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Short Title. - This Act shall be known as the “College Education Trust 
Fund Act”. 
SEC. 2. College Education Trust Fund. - There is hereby established in the Government 
Service Insurance System and the Social Security System a special trust fund called the “College 
Education Trust Fund” to ensure the college education of the children of the Members of ,both 
Systems. 
SEC. 3. Children De$ned. - For purposes of this Act, the term “children” shall include 
the legitimate, legitimated, legally adopted or illegitimate child or grandchild of the Member. 
SEC. 4. Optional Coverage. - Subject to the rules and regulations prescribed by the 
Government Service Insurance System (GSIS) or the Social Security System (SSS), as the case 
may be, all Members, regardless of civil status, with or without a child shall have the option to 
insure under this Act. 
SEC. 5. Premium Payments. - The amount of premiums to be paid to the College 
Education Trust Fund by the Member shall be, in accordance with the schedule of payments to 
be provided by the System concerned taking into consideration the following criteria: 
a) 
The interval of time between the effectivity of the coverage and the 
estimated time o f  enrollment of the child in college; 


b) 
c) 
d) 
e) 
f) 
The number of monthly contributions to be made to complete the policy; 
The benefits to be availed of as provided in Section 5 of this Act; 
The number of children insured under this Act; 
The amount of tuition and other standard fees charged by the school; and 
Such other factors as may be determined by the System concerned. 
SEC. 6. Educational BeneJis. - Only Members who have completed the payment of the 
premium on the policy before the enrollment of the child shall be entitled to avail of the benefits 
provided for under this Act. 
The benefits shall include the payment by the System concerned of: 
a) 
Such school fees as may be required for enrollment in and completion of 
four or five year college course which shall include tuition fees for all subject officially 
prescribed by the school and part of the regular curriculum as requisite for graduation and 
such standard fees as may be defined by the System concerned in coordination with the 
Department of Education, Culture and Sports; 
b) 
Materials, books, supplies and other similar fees required by the school; 
and 
c) 
such education. 
The board and lodging expenses that may be incurred in the pursuit of 
The member may opt to insure any of the above or combinations thereof. 
The payment shall be made by the System directly to the institution except for 
item (b) which shall only be reimbursed tot he member child. The System concerned 
shall provide for safeguards to insure the prompt payment of these benefits. 
SEC. 7. Incentives. - a) Should the child earn any scholarship in College as to exempt 
the System from the payment of the benefits provided for in paragraph (a) of the preceding 
section, in whole or in part, such payments shall be received by the child in lieu of the school. 
b) 
The System concerned shall provide for incentives to enrollees of the following 
courses: Agricultural, Forestry, Fishery, Science and Technology. 


SEC. 8. Transferability of Benejifs. - The benefits provided for this act may be 
transferred or assigned to another child of the same Member. 
SEC. 9. Death or Disability of Member. - The death or disability of the member shall 
not preclude the child from the availment of the benefits provided for in this Act. 
SEC. 10. In case of insufficiency of provisions of this Act, the SSS or GSIS law as the 
case may be shall apply in a suppletory manner. 
SEC. 11. The GSIS or SSS, as the case may be, shall promulgate the necessary rules and 
regulations for the effective implementation of this Act within ninety (90) days following its 
approval. 
SEC. 12. Saving Clause. -If, for any reason, any section or provision of this Act shall be 
held to be unconstitutional or invalid, the other sections or provisions of this Act shall not be 
affected thereby. 
SEC. 13. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in two (2) National Newspapers of general application, 
whichever comes earlier. 
Approved,