Car insurance can be a significant expense for students and their families, mainly when young drivers are away at school and may not drive their vehicles regularly.
However, insurance providers offer many cost-saving options to students, such as “student away at school car insurance discount.” This discount recognizes that students away at college or university and leaving their cars behind pose a lower risk to insurers, thus qualifying for reduced insurance premiums.
In this guide, we’ll learn how students can take advantage of student-away at school discount and how much they can save.
Understanding student away at school car insurance discount
The “student away at school car insurance discount” is a policy discount that some insurance companies offer to parents or guardians when their dependent child goes away to college or a university and leaves their car behind at home. The discount may only apply if you are not regularly using your vehicle while away at school. Insurance companies expect that your vehicle will be parked and not driven frequently during the school year.
How does student away-at-school car insurance discount work?
When students are away at school and don’t have access to their vehicles, they are less likely to be involved in accidents or drive frequently. Insurance providers recognize this reduced risk, and as a result, they offer a discounted rate for the duration of the time the student is away from home.
It’s important to note that the exact eligibility requirements and discount rates may vary between insurance companies, so students should check with their specific insurance provider to determine their eligibility and potential savings.
To qualify for the student away-at-school discount, students must typically meet the following criteria:
Full-time student status: Students must be enrolled as full-time students in a college, university, or accredited educational institution.
Distance from home: There is usually a specified distance from the student’s primary residence that determines eligibility. This distance may vary among insurance companies, but it typically ranges from 100 to 150 miles.
Vehicle availability: The student must leave their vehicle at home and not have access to it while away at school. Insurance companies may inquire about the vehicle’s location and usage during the academic term.
How much can you save on insurance with student away-at-school discount?
The amount you can save on insurance with a student away-at-school discount varies depending on the insurance company and individual circumstances. However, you can save up to 16% on your auto insurance bill while the student is away at college and not driving the car.
Based on our analysis, student away at school discount offers the most dollar savings, around $759 a year.
Insurance rate before discount
Insurance rate after discount
Student away at school
How to become eligible for student away at school discount
To become eligible for a student away at school discount on car insurance, you need to meet certain criteria set by your insurance provider.
Notify your insurer: When a student is heading off to college or university, inform their insurance company about the change in circumstances. This includes providing details about the educational institution they will attend, the address of their school residence, and confirming that they will not have access to the insured vehicle during this time.
Provide documentation: Insurance companies may require documents, such as a student ID or official enrollment letter, to verify the student’s full-time status and living arrangements.
Review coverage options: While the student away-at-school discount may provide significant savings, students should also consider other coverage options. For example, maintaining comprehensive coverage may still be essential to protect the vehicle from theft, vandalism, or natural disasters.
Update policy information: Ensure that all policy information, including the student’s current address and contact details, is up to date to avoid any potential issues with claims processing.
The student away at school discount is a valuable opportunity for students to save on auto insurance premiums while they are away at college or university. Students can enjoy reduced rates by meeting specific eligibility criteria and notifying their insurance provider of their change in circumstances.
If you’re a student heading off to school, inquire about this discount with your insurance company to maximize potential cost savings and optimize your coverage during your time away from home.