good student discount


Save On Auto Insurance When Your Child Goes Back To School!

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If you’re the parent of a young driver, you know how expensive it can be to add them on to your insurance policy.  Until drivers reach age 25 or have 6 years of driving experience, they are considered to be “inexperienced drivers” because they are more likely to get into an accident which is why adding them to a policy can dramatically increase the premium.  We know what you’re thinking, “If they’re going back to school and not driving a car, there MUST be a way to save on my insurance.” and you would be right!  If your child is going back to college and won’t be driving a car while they’re away, there are a few things you can do to lower your premium.

  • Drop them down to an occasional driver – If your child is going to school miles away and does not need a car while on campus and won’t have access to yours on a regular basis, list them as an occasional driver.  What this means is that they will not be the primary driver of any of the insured vehicles on your policy and it’s an easy way to save money on your premium.  This is also a good solution in case your child decides to come home for a long weekend or spring break and wants to borrow your car; that way they will still be covered on your policy.
  • Remove them from your policy – If your child won’t be driving a car at all you can choose to totally remove them from your policy.  This means that they will not be covered to drive any of the vehicles on your policy at all.  This will save you the most amount of money and is a good idea if your child is going to be away for the majority of the year.  If they do decide to come home for the summer and need to drive, you can always add them on to your policy again, it’s a simple change request that won’t take up much of your time.
  • Student Away At School Discount – If you don’t want to remove your child or drop them down to an occasional driver,  look into the student away at school discount.  Most carriers offer a 5%-10% discount if your child is away at school, although whether you are eligible or not depends on how far away their school is.  The majority of carriers require the school to be at least 100 miles away to receive the discount but it varies, so be sure to contact your carrier and find out if you’re eligible.
  • Good Student Discount – Parents, if there were ever a time to encourage your kids to make the grade, it’s now!  The majority of carriers offer a good student discount, meaning you can typically save 5%-10% on your premium if your child meets the carriers requirements.  Typically, they require students to be full time and have a minimum GPA of 3.0 to be eligible, although this also varies from carrier to carrier.  All you have to do is send in your child’s transcript and the discount can be applied.

Keep these tips in mind when your child is going back to school, they may end up saving you a significant amount on your premium!  When it comes to the student away at school and good student discounts, they can vary from carrier to carrier so be sure to give us a call to find out if you’re eligible and stay safe this back to school season!

Photo By: Images Money

 

Is Your Child Going Back To School? Find Out What You Need To Adjust On Your Insurance!

Back to school season has begun and college students are packing their bags and heading back to school where many will be without a car.  If your child is on your insurance policy and even if they have their own policy there are certain steps that need to be taken to ensure that you are not overpaying on your policy.  These simple changes can save money on your policy and there are even certain discounts that can be applied for students!

If your child is going away to school and will not have access to a car at all, the best thing to do is call up your insurance company and have their operator status changed to “excluded”.  Basically this means that your child is still listed on your policy, but is not insured to drive unless you change their operator status back to “included”.   Doing this will also save you big bucks, since younger drivers are inexperienced, they typically bring a premium way up, but once you list your student as excluded, your premium will likely go down significantly.  However, if they do drive your car while they are listed as an excluded driver and get into an accident, it will not be covered by your insurance.

If your child is going away to school and you choose to keep them on your policy, they are still able to drive and will be covered should they get into an accident, but if they go to school more than 100 miles away most insurance carriers offer an away at school discount.

If your child has their own insurance policy but they won’t be using a car while away at school, it’s best that they keep it active because cancelling a policy can have negative ramifications later.  If you do cancel a policy and then attempt to sign up for another one a few months or years down the road, most insurance companies will require you to pay the premium in full.  There are some that won’t, however someone that does not have prior insurance will have a higher premium than someone who has maintained insurance.  The best thing to do in a situation like this is to have your child maintain their policy, but lower the coverage to as low as possible.  If they won’t be using the car, there is no risk of an accident but lowering the coverage will make the payments less expensive.

If your child has their own policy and is driving their car to an out of state school and keeping it there, within 30 days they must get an insurance policy in that state or they will be committing insurance fraud.  This means that if they did get into an accident in a state where they are residing but do not have a policy they can potentially be sued for damages.  They need to change their license plates but may not be required to change their driver’s license state, however that varies by insurance companies.

Now you know what to adjust on your policy once your child leaves for school, and you also know what they have to do if they have their own policy.  However, whether your child has their own policy or not, definitely ask about a good student discount!  Most carriers offer a discount if a full time student is on your policy with a GPA of 3.0 or higher, and same goes if they have their own policy.  So, call up your insurance company and find out exactly what your best option would be!  As always, if you are looking for insurance in Massachusetts or New Jersey, give us a call at MassDrive!  Our agents would be happy to help you out and we are open until 9PM on weeknights!

Photo By: Siena College

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