University of Illinois at Urbana-Champaign is the first university to insure itself against a drop in Chinese students
Two UIUC schools teamed up and worked with Lloyd’s of London, known as a specialist insurer, to become the first university to insure itself against a big drop in tuition revenue from Chinese students. The schools paid $424,000 for a three-year contract that began in July 2017. Yahoo! Finance
Kim’s Note: We are always intrigued by and welcoming of innovation in our industry, and insuring against a drop is new and innovative. On the other hand, over reliance on a single market poses more than just financial risk – it also diminishes internationalization, and impacts classroom and campus experience. While insuring against the financial risks is a great idea, investing in diversifying recruitment seems to more closely approach the ideal.