Heading off to college means you are also striking out on your own. This independence can come at a cost, though, especially when it comes to your car insurance. College age drivers still fall into a high risk age group, which can lead to higher insurance rates. This can be tough on a student budget. The following tips can help you find a lower rate with the best insurance possible.
Tip #1: Stay On Your Parents' Policy
Chances are your parents qualify for a lot more discounts than you do alone. They may have multi-car discounts or multi-policy discounts if their home or other items are insured by the same company. You may also benefit from some of their good driving and insurance habits. You can simply pay your portion of the policy to your parents to maintain both coverage and independence. You can generally stay on your parents' policy as long as their address is remaining your permanent address during your college years.
Tip #2: Maintain Your Grades
Good student discounts aren't just for high school students. You can continue to reap the benefits of this discount throughout college. Insurers have found that responsible students that attend to their studies are also more likely to be responsible behind the wheel, so it helps to lower your rates. You will need to provide your insurance company with a copy of your transcripts with your final grades for each term in order to qualify for the discount.
Tip #3: Consider a Pay as You Go Option
One of the newer products on the insurance market is pay as you go insurance. These policies charge a relatively low monthly flat rate and then a small charge per mile driven. For college drivers that mainly only use their cars on weekends or to drive home and visit once in awhile, this can be a very low-cost option. Just keep an eye on our mileage and know the daily mileage caps so you don't get caught with a surprise large bill.
Tip #4: Leave Your Car at Home
If you are planning to live on campus and the college is in another state or city, you may be able to get a major discount if you opt to go car-less when you are at school. A resident student discount provides a year-round discounted rate that would equal what you would pay if you only returned home to drive a couple of months a year on school breaks. The benefit of keeping the insurance lies in the fact that insurance rates are generally lower for those that never have a gap in coverage. If your campus has decent public transportation, leave the car at home and save big.
To learn more, contact an insurance agency like Northeast Insurance Agency.
Share18 January 2016
Having lost everything in a fire while living in my very first apartment, I learned the hard way just how important renter's insurance was. I did not have any renter's insurance and had no idea that it was something that I needed to have. I had counted on the owner's insurance to cover the cost of replacing my belongings if something like that would happen. Boy, was I wrong. The apartment I moved into next was owned by a much more helpful man. He actually helped me find the insurance company to open a renter's policy with. Now, I have the insurance I need and feel confident that if a disaster like that should strike again, I will have the coverage I need to replace my things.