A college education today is pricey. The average student may spend more than $35,000 annually for their tuition and fees—not including their room and board, travel, clothing and other expenses. If you also take a car to school, you might face the added costs that come with that decision, including gas, parking, and auto insurance.
Some students might consider forgoing auto insurance to save money, but this coverage is required in most states and invaluable for financial protection. This critical vehicle coverage can help protect you financially if you have an accident that damages your vehicle—or someone else’s—or if third-party injuries are involved. It can also help protect you, depending on the type of policy you have, if your vehicle is damaged in another type of incident or is stolen.
Navigating auto insurance needs as a college student can be difficult. Read on to learn more about what options may be available to you.
What Should I Know About Buying Auto Insurance?
There are various factors to consider when you shop for an auto policy, including these five. Each of these factors is important and can help to ensure you get the best coverage for your insurance needs.
· Coverage types—We can work with you to ensure your policy has the coverage you need and want, such as liability, collision or comprehensive coverage. It’s important to review your various coverage options—especially if you want supplemental coverage such as roadside assistance.
· State insurance requirements—States are allowed to set minimum insurance requirements, and if you attend an out-of-state school, these requirements may vary from that of your home state. Eaton Insurance Services can also advise you on the insurance requirements of the state in which you’ll attend college and help you find an insurer who is allowed to issue a policy wherever you attend college.
· Cost—Auto insurance premiums can be costly, especially if you’re on a tight budget. If you’re under 25, you may pay a higher premium than an older driver.
· Discounts—Some insurers offer discounts, especially for college students. For example, if you maintain a GPA or are under 25, you may qualify for specific discounts. We can explore what discounts may be available to you.
Can I Use My Parents’ Insurance?
The most cost-effective method of obtaining coverage is to see if you can remain on your parent’s car insurance. For example, if you live at home while attending college and drive a car titled to your parent, you can typically stay on your parent’s policy. If you plan to stay in a dorm during the school year or attend school out of state, this might also apply to you. However, suppose your name is the name on the vehicle’s title and your primary address is not the same as your parent’s residence. In that case, their insurance company might not allow you to remain on your family’s policy. It’s essential to check with the insurance company you use; the insurer can explain what is and isn’t allowed on your parent’s auto policy.
What Determines My Policy Cost?
Your auto insurance policy premium is based on numerous factors and might include your age, driving history and geographic location.
Because of these factors, car insurance costs often fluctuate from customer to customer and from insurance provider to insurance provider. However, it’s important to note that prices might be considerably higher for college-age individuals. Eaton Insurance Services can help you get a policy that meets your needs, or we can explore if you have another coverage option, such as remaining on your parent’s insurance.
Do You Qualify for a Good Student Discount?
When you shop for auto insurance, it’s crucial to explore your coverage options, policy availability and premium cost—and don’t forget to look into any special discounts that may apply to your premium. You usually need to provide proof of enrollment and academic achievement to receive a good student discount. This proof can be given to your insurer in the form of a report card or transcript, standardized test score results, a letter from a school administrator, or a dean’s list or honor roll certificate.
Make An Educated Decision
Congratulations, you’ve decided to further your education. Ensure you also educate yourself about what auto insurance coverage can protect you and your financial livelihood. Call us today to get started.