Back-To-School: Auto & Renters Insurance, Does My College Student Need It?
July 17, 2024
Parents with driving-aged teenagers at home are understandably cautious about auto insurance, given how expensive rates are for younger drivers. With back-to-school quickly approaching and many older students heading off to campus, it’s not always obvious what to do about your college student’s auto or renters insurance policy.
Some Insurance Carriers reward good grades. Go ahead and brag about your child’s academic achievements! (This discount is not limited to university-aged students; if you have high schoolers with good grades who drive, you may also benefit.)
The further away their campus, the easier on your pocketbook (even if it isn’t better for your heart). Select carriers offer discounts if your student is full-time and living at least 100 miles away.
If your student will be taking their car to campus you will need to update their garaging address with your agent. This is also a good time to review coverages and endorsements. Remember to update once again when they return for the summer, or move to another residence. (Set a calendar reminder!)
Insurance companies often extend homeowners coverage to students living away from home, including those in dorms or off-campus housing, with certain limitations. Since personal property is generally protected worldwide under a homeowners policy, your child’s belongings can be covered even when they’re away at school. However, if your student isn’t listed as an “insured” on your policy, additional coverage such as renters insurance may be necessary to fully protect their possessions. There may be limitations to the amount of coverage, so check with your agent.
As your children transition into adulthood, they face new responsibilities and potential risks. While mistakes are a natural part of growing up, they don’t have to lead to financial setbacks. Purchasing a renters policy for your student is a smart move. It’s usually very affordable and provides protection for their finances and credit rating. Additionally, having a separate renters policy can prevent potential rate increases on your homeowners policy due to claims made by your college student.
If you opt for individual renters insurance policies, keep in mind that coverage from your policy typically doesn’t extend to roommate’s belongings. While having your own renters insurance may fulfill lease requirements, it won’t cover everyone living in the same home.
If you have additional questions about these or other eligible discounts for your child’s auto or renters insurance coverage, please contact us or reach out to your Robertson Ryan Insurance Agent before move-in weekend. We’re happy to work with your young adult so they can learn more about insurance and the value of having solid insurance coverage.