CAR INSURANCE FOR COLLEGE STUDENTS

Car insurance for college students is cheaper than the other car insurance policies because students already have a lot of burden on their shoulders and some students are depending on their parents so, it is hard to give a monthly high premium for cars. Some companies give a good discount as well as good coverage of car insurance in case of damage and theft. Two policies are likely to consider good for students one is comprehensive and the other is a collision.

Car insurance for college students

We all know that college life is a hectic life. There is a lot of expenses which a student and parents have to bear during this time. Collage fees, college tuition fees, food expense, apartment rent clothing expense ahhhhh……… students have a lot of burden on their shoulders. Among all such things, another burden of car insurance makes the student more worried. Because of all these responsibilities how a student gets efficient in studies, he has to do a part-time job and his job is not giving enough salary to pull on this burden.

By intender all these scenarios, insurance companies design car insurance for a college student which actually gives a discount on coverage plans which gives full coverage in discount.

If a student is living with his parents and his college is 100 miles away from home, his age is up to 25 years old then he is eligible for a discount. Along with it, there are some other factors which actually which is important to get a discount on the insurance policy.

Factors that influence the premium discount of an insurance policy

Factors that influence the premium discount of an insurance policy are as follows.

Location

For getting a discount on the insurance policy they need to know where do you live, in rural areas coverage is cheaper than in urban areas because in urban areas roads are full of traffic and a lot of obstacles which create a problem for the driver and there is a high chance of getting an accident

America has a higher insurance rate, cities like new jersey and New York has a high rate of college student car insurance then Idaho, Iowa, Wisconsin, and Maine.

Despite all such things, there is a relief, if a student is live 3 miles away from his college or job then he will be qualified for a mileage discount.

Type of car

An expensive car or high-speed car like a sports car maybe look good standing on your college campus but its insurance rate can actually break your back. The reason these cars required high maintains. The sports car is a high-speed car so, it is obvious that the driver dives it fast and fast driving increase the chances of an accident.

Unexpansive cars have cheap maintenance and low rate premium which is affordable for the student.

Credit history

Credit history influences the premium rate of the insurance policy. Besides all other factors like location, type of car Insurer check your credit history if your credit history is good then you get a low premium policy means the discount rate increases or if you have not good credit history then the premium is high means you get a low discount coverage policy.

How much drive

For a student, It is important to get a good grade with a low premium policy. Although, if you drive less then you have to pay a low rate premium. Premium discount depends upon how much you drive your car. It is better to stick to your parent’s policy rather than get your own.

Driving record

It is the most influenced factor among all. A good driving record means how much you drive and how you drive. Driving records includes any past accident, the reason for the accident, how much you drive your car, and where you stand your car.

If you stand your car at your parents’ house and your college is 100 miles away from your parent’s house then it is better to stay at your parent’s insurance policy. If your age is unto 25 and your college is more than 100 miles then your parent’s house you should be at your parent’s policy.

Car insurance coverage policies considered for students

Your child is now young and it’s time to go collage but wait have to think about to review your car insurance policy. It is a better time to see your car insurance and add a policy if needed.

Two polices which are considered for student car insurance

  • Collision coverage policy
  • Comprehensive insurance policy

What policy to choose depends upon how your child uses a car or where does he park. If your child parks his car outside then it is better to get a comprehensive coverage policy Parking a car outside is at higher risk to be stolen and a comprehensive insurance plan is the only policy that helps to repair or replace a car or car parts in case of theft.

On the other hand, if your child drives a car fast and drives more than just to go college then the collision insurance policy is good for it. A collision coverage plan helps to cover damage due to accidents, either strike with any car or object.

Both policies are mandated if the car is financing or lease. Other than that, if you paid off it is not compulsory to have it.

Summary: student car insurance policy provides a low premium coverage plan which can be easily affordable by the students. There are different scenarios in which it can be eligible to get a discount on the coverage plan. Two plans are suitable for student car insurance one is collusion and the other is a comprehensive policy. Choose the right policy depends upon the requirement of the student and the use of a car.

Discount for college students

Now the next thing we should know, about the discount for college students.

For resident students

if you use your parent’s car means the car is in the name of your parents plus you leave your car at your parents’ house and you live in a college hostel then you qualify for a student discount or if your collage is 100 miles away from your parents’ house then your parents qualify for a resident discount on coverage policy because you are not using your family car and live away from home.

For good grade student

The insurance company also gives a premium discount to students who get a good grade in their studies. By considering their hard work, loyalty and they or their parents deserve a discount on their premium.

Young male pays a high premium amount the young female. Most insurance policies give good grade discounts to unmarried and full time employ up to 25.

Multiple policy discount

Students who live in rental apartments and have their own insurance policies are eligible for multiple policy discounts. Multiple policy means have more than one policy.

Anti-theft device discount

If you are thinking to get residents in a new location then it is better to research local crime statistics. We ensure that you are living in a safe neighborhood. If you are going to your college which is far away from your house and you bring your car then it’s a good time to purchase an anti-theft device discount. Doing so may cut back on the likelihood of your stuff being stolen and also land you a discount on your car insurance.

Best Car Insurance For College Student

After knowing all factors about student car insurance now I am ready to purchase the best car insurance plan, but wait how do I know what is the best plan for me, which company gives the best discount rate.

We tell you what is best for you. Here describes a list of companies that provide the best insurance plan for college students.

COMPANIES BEST FOR
Allstate It is overall best
GEICO It is good cheap car insurance for college students
Statefarm Best discount for students
Metro mile Best for infrequent drivers
Auto-owners Best family policy
USAA Best for military members


Here I describe the two best insurance companies.

Allstate

Allstate insurance company is the best insurance provider. It is the fourth largest auto insurance provider in the nation. No doubt, that Allstate insurance provides good coverage with a significant discount.

Although, Allstate insurance is the best insurance for students it has some cons as well. The pros and cons are as follows.

Pros

  • It gives coverage and discount for college students.
  • It is available in all 50 states.
  • Have a great mobile app.

Cons

  • Its average premium rate is higher in some state
  • For claim satisfaction, its average rating is below.

Coverage

Allstate provides extensive coverage. Allstate offers everything from barebone coverage to full package. It also provides a roadside assistance package in which towing coverage, rental car reimbursement, and battery restart included. Allstate also offers coverage plans for the students who drive a car for others like uber or Lyft. This coverage plan is called ridesharing insurance.

Discount

Here are the best discounts for students.

  • Allstate offers a smart discount rate. The smart discount gives off up to 25% to those students who maintain average B.
  • Allstate provides a residential discount for those students who live 100 miles away from their colleges and they don’t have a car. The residential discount is up to 20%.
  • They provide a mile-wise discount which gives discounts on the number of miles drive car per month.

GEICO

If you are looking for the cheapest insurance plan then GEICO provides the best and cheap coverage plan. It is well known to provide a low premium rate policy in the industry.

It has also some pros and cons and they are.

Pros

  • GEICO provides highly competitive rates.
  • It is the only coverage provider who has a high rate of satisfaction among their customers.
  • GEICO is available in all 50 states.

Cons

  • It has a mediocre student discount.
  • It has limited access to local agents.

Coverage

GEICO not only gives coverage what the state is required but also gives additional coverage include emergency roadside assistance, mechanical breakdown coverage, rideshare insurance, and GAP insurance.

Discounts

GEICO has already offered the lowest rate in the industry. GEICO provides a list of discounts but for the student, there is a specific discount of 15% on good grade students. Although students get to benefit from the other discounts as well.

Simple Score J.D. Power Rating AM Best Rating BBB Rating S&P Rating
ALLSTATE 4.2 5/5 A+ N/A AA-
GEICO 4.2 3/5 A++ N/A AA+

The above table shows the average score of Allstate and GEICO insurance company.

Average rates for college students

annual monthly weekly daily
ALLSTATE $2,558 $213.16 $49.19 $7.01
GEICO $1,750 $145.83 $33.65 $4.79

Summary: Allstate and GEICO are considered the best insurance providers for college students. they provide good discounts with the best coverage. The above table shows annual, monthly, weekly, and daily average rates of Allstate and GEICO insurance company for college students. According to it, GEICO rates are cheaper than the Allstate.

FAQ’S

What is the best cheapest car insurance for college students?

Here is a list of the cheapest car insurance companies.

INSURANCE COMPANIES LOWEST RATE
National General $32/month
Dairyland $36/month
Workmen $49/month
Mercury $54/month
MetLife $55/month

Does the insurance provider give a discount to the college student?

Yes, companies give a good discount to college students on car insurance. But there is some condition in which the student has to full fill. Mostly the company gives discounts to young boys and girls up to 25 years of age.

Can college students stay on parent’s policy?

Yes, they can but they are considered to be dependent on their parents. Students who live in their parent’s house or drive family cars can stay on their parent’s policy.

How long can a child be on parent’s car insurance?

There is no hard and fast rule for the child to stay at their parent’s policy unless and until children live with their parents. In health insurance, the age limit of children to stay at parent’s policy is 26.

Can you insure a car if you don’t own it?

It is not necessary for insurance to own a car. A registered person who is not an owner can also insure a car.

Is it cheaper to be on parent’s insurance?

Yes, in some policies it’s cheaper to be on parent’s policy, but in life insurance, it can be more expensive if you get under parents’ policy.

Can two people insure the same car?

Don’t worry you can legally have more than one car insurance policy for the same car there’s nothing to stop you from doing it. And if you take out a second car insurance policy when you already have one, it won’t mean the first policy is void.

Conclusion

College students already have a lot of burden on their shoulders and after all these things car insurance premium is another burden. By considering it, insurance companies give discounts with good coverage to the students on the car insurance policy. There are some scenarios in which students get discounts on their policies. What policy they should consider is depends upon their usage. More likely, comprehensive and collision coverage plans are considered best for college students. Parents can add their Childers to their policy but it becomes expensive for them.

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Holding a student certainly has its benefits. You might not realize it, but you may be eligible for discounts offered by car insurance companies just for being a full-time college student. With so many car insurance options accessible, you may be confused about what you want or what would offer the best deal for your money. Selecting an auto insurance policy that offers the coverage you want at an affordable rate can give you calm of mind and financial security.

What Is Car Insurance?

Car insurance is also known as Vehicle insurance. Its main use is to provide financial security against physical injury or bodily injury resulting from traffic collisions and facing liability that could also occur from incidents in a vehicle. Car insurance may additionally offer fiscal security against theft of the vehicle and injury to the vehicle sustained from events other than traffic hits, such as keying weather or natural catastrophes, and injury sustained by colliding with stationary objects. The specific terms of vehicle insurance vary with legal laws in each region.

How To Choose Car Insurance While In College:

Finding the Best Deals for Students:

  • Look for good student deductions.

  • Review for resident student discounts.

  • Question about occasional driver discounts.

  • Consider following your parents’ policy.

Comparing Policies:

  • Research the organization you’re considering.

  • Compare coverage.

  • Decide on a provider.

Evaluating Costs to Get the Best Deal:

  • Compare prices.

  • Increase your deductible.

  • Check if your car passes for discounts.

  • Find out about other personal deductions.

  • Consider increasing your search area.

Best Car Insurance Companies For College Students:

These are the best insurance companies. The cheapest car insurance companies where anyone can found cheap insurance.

Account Best For
Esurance Do-it-yourself insurance
Metromile Pay-per-mile insurance
Liberty Mutual Discounts
Allstate Face-to-face assistance
Amica Mutual Roadside assistance
Farmers High GPA students
American Family Good customer service
USAA Military members
State Farm Low rates

Affordable Car Insurance For Students:

If you’re insuring your child’s car while they’re away at school, you may want to warn them not to lend the car to their friends. You could be liable if there is an accident. Consult with your insurance company for specific details.

More than 815,000 drivers under the age of 20 currently hold Florida licenses. Of that amount, 36,216 were involved in crashes as a driver during 2018. Even the best high school and college-age drivers simply have not been behind the wheel long enough to anticipate everything that can happen while driving. Because of this factor, their auto insurance rates are typically higher. Approximate estimates are given below, but you can ask for personalized quotes to get more accurate figures.

S.No Company Amount Per year
1. GEICO $2,902
2. Allstate $3,840
3. State Farm $4,725
4. Progressive $4,761
5. Allied $8,685

Average rates for college students:

Car insurance seems even more expensive when you’re young, have high premiums, and are broke. But for college students, many insurance companies offer a ton of discounts. Here’s the [best car insurance for college students.]([Car insurance fhttps://howtodiscuss.com/t/car-insurance-for-college-students/27437)

Company Annual Monthly Weekly Daily
Allstate $2,558 $213.16 $49.19 $7.01
GEICO $1,750 $145.83 $33.65 $4.79
Progressive $1,710 $142.50 $32.88 $4.68
State Farm $2,818 $234.83 $54.19 $7.72

Frequent Asked Questions(FAQs):

What is the best cars for a college student?

The best cars for college students are as follows:

  • Safety.

  • Mazda3.

  • Toyota Prius.

  • Gas Mileage.

  • Hyundai Elantra.

  • Volkswagen Jetta.

  • Honda CR-V.

  • The Jeep Wrangler.

What is the most inexpensive car insurance for college students?

GEICO is the most inexpensive car insurance for College Students:

When compared to other national insurance companies, GEICO routinely offers cheap auto insurance for college students.GEICO’s low rates and plenty of discounts make it what we consider the best affordable car insurance for college students.

What is the best car insurance for a college student?

Best Car Insurance Companies for College Students:

  • Allstate – It is the best awards program.

  • Geico – It is best mobile app.

  • Progressive – It is good at best prices.

  • State Farm – It gives us the best discounts.

Do students get discounts on car insurance?

While students may get discounts on a variety of services and amenities, this may not be the case when it comes to acquiring car insurance from traditional insurers. By tracking their driving with the UbiCar mobile app and hiring up for the cover, students can probably get insurance discounts for good driving.

What GPA is needed for an insurance discount?

All of the 10 largest auto insurance companies in the U.S. offer a good student discount for young drivers. You typically restrict if you can keep your GPA at 3.0 or higher. Discounts may not be possible in every state, or age ranges may vary by state, so it’s always smart to monitor.

Do grades affect insurance?

Young drivers who also receive good grades can be eligible for an exciting discount on their insurance. Studies have shown that a student who receives As and Bs is more likely to be a more reliable driver than a student who receives Cs and Ds. This discount does vary by company, and in fact, may not even be offered by some.

What are the 7 types of insurance?

7 Sorts of Insurance are; Life Insurance or Personal Insurance, Property Insurance, Marine Insurance, Fire Insurance, Liability Insurance, Guarantee Insurance. Insurance is categorized based on risk, type, and hazards.

What are the major types of insurance?

Here are eight kinds of insurance and eight goals you might need them.

Conclusion:

The sum of all this is that college students have so many opportunities and benefits through which they can save their money and control their budget. If you are a college student then definitely you are eligible for a discount offer. There are several companies providing cheap insurance to college students with different policy plans. you will get confused about which one should you choose among these.

Read Related Topics:

All drivers are usually in need of car insurance to financially protect themselves against risks and damages resultant of an accident. Although car insurance for drivers 18 to 25 is normally far more expensive than for other age groups however college students often enjoy certain advantages. For example many insurers provide students with discounts based on their grades and driver education. But the question is how to figure out which car insurance is best for college students? Making the search easier, here is a review that gives you the options based on affordability, student specific discounts, and useful coverage. Here is a selection of the best car insurance for college students.

Comparing car insurance for college students

Inside the U.S. the average annual cost of car insurance for the age groups of teens and young adults between of 18 and 22 is $3,615. The five car insurance providers have been evaluated here. All of these providers don’t to a certain extent approach this price point. However these are the best options for college students in search of car insurance service. Given below are some of the student specific discounts and other unique features offered by these companies that create a standard for competitors.

Company Student specific discounts Unique features to offer Average rate for 18 year olds
Allstate Smart student, student away at school Drive wise program for safe driving, Mile wise program for irregular drivers $6,521
State Farm Good student discount, student away at school clear guided program, top ranked mobile app and online resources $5,506
Amica Good student, student away at school Scores based on credit, surplus policies, huge consumer service $7,872
USAA Good student Broad range of discounts accident forgiveness, payment plans $3,516
Geico Good student Mobile app available, huge discounts, Mexico insurance $4,521

Average cost of car insurance for college students

Car insurance companies take into account a number of custom designed factors while evaluating the risk of a driver to decide how much will be their car insurance rates. Some of these factors include place you live, your driving history and the type of motor vehicle you drive besides others.

Car insurance companies also consider your gender while evaluating risk. According to the surveys conducted by the traffic safety companies like Insurance Institute for Highway Safety (IIHS) and the Highway Loss Data Institute, men die more than the women in motor vehicle accidents every year. Obviously because men are often take on risky driving practices much more than women. These risk factors include over speeding, saying no to wear a safety belt and driving while not in being full senses after using alcohol. These factors increase the need for car insurance to assure male drivers consequently the car insurance companies ofer higher car insurance rates.

Annual premiums based on gender

For female For Male %age difference
$5,009 $5,661 13%
$3,725 $4,266 15%
$3,370 $3,814 13%
$2,451 $2,792 14%

For college students, age is connected to and is an additional factor for the lack of experience behind the steering wheel which means they are more liable to have an accident, making them riskier drivers to be insured. So the car insurance premiums offered by most of the companies, age wise are summarized below.

Age of college student Average premium offered
18 $5,335
19 $3,996
20 $3,592
21 $2,622

Tips for college students to save money in car insurance

Car insurance offered to college students may be expensive because of the reason that young drivers are placed in the high risk grouping often. In addition to that car insurance rates for college students can be affected by the state where you live. However, there are some ways by which you can save money on your car insurance.

For most of the cases, the average savings for a good student discount is in the range of 8% to 9% for college students. Nevertheless, this small percentage discount still can be helpful. For example in the case of Allstate’s average annual premium for an age of 18 year is $6,521, that means annual savings of $521 is possible.

Savings with good age wise student discount

Age of student Average savings possible
18 8%
19 9%
20 9%
21 8%

Improve your grades

Most of the car insurance providers offer good discount for students maintaining good grades. Sometimes this discount can significantly reach up to 25% or even more with most companies not requiring a GPA of 4.0 or straight A’s. For instance, All states regard you as a good driver if your grades are almost B- or above, having at least a 2.7 GPA. If your grades lie in the C or below range, improvement of grades can help you to save some money on your car insurance.

How to take advantage of low mileage discounts

If your living place is at a walking distance from your campus, the most probably you only use your car on the weekends or for household tasks. Some of the car insurance companies offer discounts for irregular car drivers. Even you can find pay per mile insurance, which charges with the distance you drive in a given period of time. Most of the times, this type of insurance is far more cheaper than a usual car insurance policy.

Stick to your parents’ policy

By comparing to the costs of having your own policy to that of be staying on your parents’ policy one can see if it is cheaper to stay on their own policy. Although this is not always a good savings opportunity, it might make it simpler that can alleviate the extra costs with additional discounts. For example, taking a safe driving course, improving grades, and getting enrolled in a safe driver program can all surly help in maintaining your parents’ rate low if you are staying on their insurance policy.

Leaving your car at home

The final option is one that most college students don’t like to hear, but it is actually valuable. And this option is to just leave your car at home. Your car will surely be much safer there, and there is almost no risk of something happening to it. Although it is never a good idea to withdraw your car insurance, you can take advantage if your college is more than 100 miles away from your house called as a student away at school discount.

Summary

  • College students who possess a car for school are in need of a car insurance policy.
  • No doubt insurance is not always cheap for young adults, there are some useful ways to save money.
  • Like for example most insurance companies usually offer discounts for smart students as well as those who leave their car at home.