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!
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