Car insurance for college students is a crucial consideration for both parents and students as they prepare for the transition to college life. College students, especially those who will be driving while away at school, need proper car insurance coverage to protect themselves and their vehicles on the road. Here are some important points to consider:
Should College Students Purchase Car Insurance?
- Stay on the Family Policy: In many cases, it is more cost-effective for college students to remain on their family’s auto insurance policy. This is especially true if the student is attending college within 100 miles of their home.
- Consider Separate Policy: If a student will be living far from home, more than 100 miles away, or if it is financially more viable, they can consider purchasing their own auto insurance policy.
- Policy Costs: Auto insurance policies become more expensive when they cover drivers under the age of 25, which most undergraduate college students fall under. Additionally, different zip codes and states may have varying insurance rates, so consider the student’s location when making a decision.
Types of Car Coverage for College Students
When selecting car insurance coverage for college students, it’s essential to choose the right types of coverage based on their needs and circumstances. Common types of coverage include:
- Collision Coverage: This coverage helps pay for damages to the student’s vehicle in the event of an accident, regardless of fault.
- Property Damage Liability: Protects against the costs of damages to other vehicles and property in case of an accident where the student is at fault.
- Bodily Injury Liability: Covers medical bills and lost income of individuals injured in an accident caused by the student.
- Towing and Labor Coverage: Pays for towing services and labor costs if the student’s vehicle breaks down.
The type of coverage needed depends on factors such as the student’s driving habits, the vehicle they drive, and the location of their college campus.
How College Students Can Save Money on Car Insurance
College students can take advantage of various discounts to make their car insurance more affordable:
- Good Student Discount: Students with proof of academic achievement may qualify for a good student discount.
- Driver’s Education Discount: Completion of an approved driver training program can lead to discounts on car insurance.
- SmartMiles® Discount: Students who live close to campus and drive less may qualify for reduced rates with mileage-based programs.
- SmartRide® Discount: Safe driving habits can earn students discounts through usage-based insurance programs.
- Multi-Policy Discount: Bundling renters insurance with auto insurance can result in significant savings.
Choosing the right coverage and taking advantage of discounts can help college students and their parents find affordable and comprehensive car insurance solutions.
Before heading off to college, it’s crucial to evaluate the student’s insurance needs and explore options to ensure they have the right coverage in place. Obtaining a free auto insurance quote can provide more information and help students and their families make informed decisions about their insurance needs.