Sending your son or daughter off to pursue a college education is a major milestone. If you’re like many parents, you’re probably filled with mixed emotions–excitement, pride, and maybe a fair amount of anxiety too. There’s a lot to prepare them for, and you want your child to thrive. They’re about to encounter a number of new and challenging situations being away from home for the first time–finding suitable housing, preparing for difficult exams, and trying to use their new found freedom wisely. To help make this transition easier (and potentially less costly) schedule a brief chat with your child and review how going to college will affect your family’s car insurance:
Attending a school in another city or province
If you have college bound kids who are attending school away from home, they won’t be driving the family vehicle as much. If they’re only getting behind the wheel during the occasional weekend visit or holiday, ask your insurer about the possibility of a discounted premium. You may qualify for a reduced rate that reflects their limited road time.
Schedule another class…for driver’s training
Did your young driver get licensed without taking a formal driver’s education course? If so, it may make sense to add another class to this semester. Passing a driver’s training exam could earn them (and maybe you) significant savings on premiums for several years after passing the test.
Bringing a car to school
Making it to early morning lectures on time is just one good reason to bring a car to school. Whether driving a new a car around campus, or taking an existing family vehicle, you’ll need to consider the impact on your insurance coverage. Driving full-time means that insurers will now treat your son or daughter as a primary driver, instead of occasional. Will the vehicle be in your name? If so, your family may qualify for a multi-vehicle discount. It’s important to make sure you have the most comprehensive coverage in place, just in case the need for a claim arises.
Continuity of coverage
If your child isn’t taking the car to school, you might logically think about saving some money by removing him or her from your auto insurance. Before you do so, consider some of the common scenarios that make it worth continuing your coverage:
– Protecting your child in case they drive a friend’s vehicle that lacks sufficient coverage (as a designated driver, etc.)
– Coverage during visits home that involve driving
– Being on a parent’s policy could result in lower premiums later when buying their own auto insurance later
Good student discounts
Insuring a new driver can be costly if you’re not careful. On the bright side, their hours of studying could pay off in more ways than one. Having great grades could help your child qualify for lower insurance rates, aka a “good student discount”. Most providers require proof that your student has a GPA of 3.0 or higher.
Need to discuss your coverage or update your auto insurance policy? We can help. Contact one of our specialists today.