How Does Your Auto Insurance Gets Affected When Your Child Goes to College?

How Does Your Auto Insurance Gets Affected When Your Child Goes to College?

Dec 14, 2022


Impact on insurance policies as your child starts going to college

Is your child all set to go to college? Then, it is time to customize your insurance policies to ensure your child has sufficient coverage on and off campus. Mainly, the insurance consideration for the college student falls to the bottom of the list. Still, it’s important because an insurance policy will protect your child and their financial and legal liabilities related to the incident in which they are involved. So, it’s good to consider your child’s insurance needs before they go off to college.

Here are some insurance policies that can be impacted when your child goes away to college:

Auto Insurance

If you have added your child to your auto insurance policy and they are going off to college, leaving the car behind, consider removing them from your policy to save on your premiums. However, it is not recommended because your child may want to use the car when they come home during holidays, and they cannot drive legally without insurance. So, keeping them in your policy will have them covered while on the roads and help them to build a solid driving history.

Also, if your child is added as a driver in your policy, they will be covered even while driving their friend’s car. Their friend’s car insurance will kick in first to cover the incident, and the remaining (if any) will be covered by your insurance. If your child takes the car with them, you should inform your insurer. Undoubtedly, your insurance will always protect your vehicle, but you must inform your insurer if it is stored elsewhere to avoid future claims denials.

Homeowners Insurance

Homeowners insurance typically protects your home and its belongings. However, it will not extend to covering your belongings with your child in the dorm room on campus. For example, suppose your child takes away your costly laptop, which is unfortunately damaged or stolen. In that case, your homeowners insurance will not cover the loss even though it is listed under your belongings, as the incident occurred away from your home.

At this time, you should think about buying renters insurance, as it will cover your child’s belongings and other liability issues caused by them while away from home. However, if your child lives off-campus renting a house/apartment, your renters insurance will not cover them, and they will need a separate policy.

Life Insurance

If you have co-signed your child’s education loan, you will be held responsible for it if they, unfortunately, pass away. This is where a life insurance policy can help. You can buy a life insurance policy for your child to cover his debts after his untimely death. Life insurance will be affordable when purchased young, as your child will probably be healthy and fit enough to qualify for it easily. Moreover, you can get discounts if you bundle your life insurance with your auto and homeowners insurance policies.

Need Help Securing Insurance for Your Child? Contact Bell Black Insurance!

We will review your child’s insurance needs and help secure the right coverage that offers them the best and customized protection across their college time and beyond. Contact us today at Bell Black Insurance to get started.