Car insurance for college students in 2022. Money can easily vanish with tuition, room & board, and textbooks. Most likely, you’re not considering how auto insurance fits into any of that. How do you tell if you’re getting the greatest car insurance quote as a student on your parents’ plan or on your own?
Can you add some extra responsibility to a new college student’s college experience by having them get their own auto insurance if you’re a parent or the person in charge of them?
Parents may be concerned about whether their students can afford coverage on their own or whether there are even affordable options for vehicle insurance given that some insurance companies charge young drivers extra for insurance due to their age.
What information about owning a car, insuring it, and maintaining auto insurance while attending school and after graduating should parents and students be aware of?
Should college students have their own car insurance?
It’s crucial to remember that unless you’re in New Hampshire, it’s against the law to drive without insurance. Therefore, just like everyone else, college students need to obtain insurance.
You and your parent(s) will need to decide whether you’ll continue on their coverage or acquire your own as a college student. Before purchasing auto insurance for the first time, there are a few things to keep in mind.
Do you own a car?
When you purchase a car, you receive a title that identifies the car’s owners. If your parents bought the vehicle, your name may not be on the title.
You fall into one of the following categories if you’re a novice driver under the age of 21 (or even 25):
- A parent’s name appears under the title.
- The title is next to the students’ and the parents’ names.
- The student’s name is listed below the title.
You might be eligible to continue being covered by your parent’s insurance for the first two cases. However, you’ll probably need your own auto insurance if you own the vehicle.
What’s your address?
Even if they are relocating to campus, some students continue to use their parent’s homes as their permanent addresses. You might be eligible to continue being covered by your parent’s insurance if this is the situation or if you commute to school.
But bear in mind that if you ever get into an accident, you might have trouble making a claim. If you don’t accurately state where you live, some insurance companies may reject your claim.
When you purchase insurance, the location of your car may also affect your overall insurance rate. Make sure your insurance provider is aware that you are temporarily living on campus if you intend to continue being covered by your parent’s insurance.
Can you rideshare everywhere, instead of driving?
Having and insuring a car on campus may be something you’re considering whether you’re a student or the parent of one.
Having a car when you live on campus might make it simpler to go on the weekends, but it might be difficult to find parking or to afford a parking card. Although every circumstance is unique, there are a few things to take into account when you drive to college.
Pros of rideshare
Short journeys may be reasonably priced if you ride to nearby destinations. If you know your location ahead of time, several ridesharing firms provide estimates on their websites.
No need to bring a car to school if you plan to use a rideshare app for all of your transportation needs. Gas, upkeep, and parking permits for city or school parking lots will be cheaper as a result. Additionally, you don’t have to stress about finding parking or providing rides for others.
Cons of rideshare
Ride costs: On the other hand, you can see surcharges in your rate if you use Uber or Lyft late at night or on the weekends. The additional ridesharing costs can mount up rapidly.
Unpredictable service: Depending on where your college is located, your experience with ridesharing services may differ. It could be more challenging to find rideshare in a rural area or small town than in a big city. You can’t always count on being able to use ridesharing because some cities have outright banned it for trips to and from the airport.
Rating scale: Following a ride, you can give your rideshare driver between 1 and 5 stars. But they can also give you a rating.
Car insurance for college students without credit
Your credit score may make it difficult for you to acquire an affordable car insurance premium if you haven’t purchased a car, paid for auto insurance, or opened a credit card.
Insurance companies utilize credit scores, even if you are an experienced driver, to help them estimate how much you will pay for auto insurance. Some carriers can classify you as a higher risk if you don’t have a credit history, which would result in a higher rate. Find out how your credit score may affect the cost of your auto insurance.
Your rate at Root is mostly determined by how you drive. In fact, by 2025, we intend to completely remove credit scores from our pricing.
Buying car insurance for the first time
If you’re getting automobile insurance for the first time, our article can assist you in selecting the best coverages for your requirements by breaking down coverage essentials (and state requirements).
The phrase “full coverage” may have come up in relation to auto insurance. Although you can’t truly get full coverage, most people refer to having liability, collision, and comprehensive coverages as having this.
What is Liability coverage?
As the bare minimum in auto insurance, liability coverage is legally required in all states save New Hampshire.
If you are held accountable for an accident, this coverage aids you in paying for damages. Each state has different minimum standards for Liability, but the Root app ensures sure you comply with them all.
The two components of liability are coverages for bodily injury and property damage.
- When you cause an accident, bodily injury insurance pays for the medical bills, lost wages, and funeral costs of those people who were also involved.
- Helps pay for damage to someone else’s property as a result of an accident for which you are at fault.
What is Collision coverage?
Collision will assist you in covering the cost of auto repairs if you cause an accident. Additionally, it is advantageous if a hit-and-run accident or an uninsured driver hits your vehicle.
No state mandates collision coverage, but if you lease your automobile or had to take out a loan to pay for it, you might need to buy it.
What is Comprehensive coverage?
Comprehensive coverage can assist in the cost of damage repair if your car sustains damage due to something other than an accident. Comprehensive insurance provides coverage for things like hail damage, vandalism, and even a cracked windshield. However, your insurance will not pay out if you intentionally damage your vehicle.
It can be a smart idea to add Comprehensive coverage to your insurance if you frequently park your car outside, either at home or at school.
Root bases your rate primarily on how you drive, not who you are
At Root, we don’t believe in rating drivers based on stereotypes. We’ve made it simple for drivers like you to receive better pricing because we think better drivers deserve better rates.
- Create an account by downloading the Root app to your smartphone; it doesn’t take long.
- Like you normally would, drive. We employ sensors in your smartphone throughout the test drive to assess your long-term safe driving practices.
- Get a final rate that is mostly determined by your driving habits rather than only demographic factors like your ZIP code, age, marital status, credit history, or gender. You might annually save hundreds.
Other fantastic advantages of Root include:
- Every coverage includes roadside assistance
- Utilizing the app, and managing your policy is simple.
- Credits for Lyft on certain holidays
- Rewards for recommending friends