Having car insurance is a must. Not only is this mandatory in several countries around the world, but it also offers added protection for you. If something happens, you are assured of having a tangible resource to fix your car.
Just read some of the State Farm Insurance reviews on how drivers were assisted by their policy.
But while the importance of car insurance cannot be understated, it takes a different turn in the case of college students. Most barely make enough money for their daily struggle through university and life in general. At the same time, they still need proper insurance.
If you are a college student who wants to get cheap car insurance safely, here are a few tips:
Get Good Grades
If you need more incentive to work hard and study, here’s another one: You can get better deals on auto insurance if you have high grades. Insurance companies believe that high-performing students are better drivers, so this incentive.
Ask your auto insurance provider about the requirements to get this type of discount. Note that most major companies would offer this type of discount in one form or another. Actual grade requirements would vary from provider to provider, though.
Still, this is one of the best ways for a college student to save money on car insurance as they offer 10 to 25% discount rates.
Consider Reduced Coverage for Older Cars
The college student of the family often gets the oldest car in the garage. If you have a relatively older car model, you can drop some of the policies you don’t need.
Every state would have different premiums. While these are two separate policies, they are usually bought together.
Collision covers damages to the vehicle done by the driver. Comprehensive covers acts of nature such as a cracked windshield due to hail.
Studies show that it is best to drop this type of coverage if the premium exceeds 10% of the actual car value. For example, if the insurance premium is $450 annually, you may want to drop it if the car’s value is less than $4,000.
Take a Defensive Driving Class
When dealing with insurance companies, you want to show them that you are trying to be a good driver. It pays to take that extra effort to become more trustworthy in their eyes. You can do this by taking a defensive driving class.
While adding another class to your busy schedule may seem like a lot, the potential savings can change your mind. Upon completing the class, you can get discounted rates from your provider.
The actual discounts would differ for each company.
Shop Around and Read Reviews
When buying a new laptop, you wouldn’t want to get the first one you see. There is a process of research, reading specs, learning about features, and finding which one appeals to you the most.
A similar process can be done when looking for an insurance provider. Take the time to shop around and look at the different offerings out there. Understand what they can give you and which ones are most important to you.
Once you have a list of providers you think have what you need, the next step is to read actual user reviews. These can provide you with vital information about which company to sign up with.
You can also ask your friends and family about their own experience with insurance companies. Firsthand knowledge is always invaluable in these situations.
Stay on Family Plan
Almost all the top car insurance companies offer a family or group plan. With this, you can reimburse your parents for your part of the premium. The main requirement is just keeping your permanent address the same as your parents.
However, it is important to note that this can be risky for you and your family. If anyone included in the plan gets into an accident, the entire premium could increase. In other words, one person screws up, everyone pays the price—literally.
Before anything, make sure to call your insurance provider first. Let them know you will be an incoming student and start driving on a particular date. They can provide you with options if you plan to drive an old car or get a new one later.
Before making any important decision, do your due diligence and understand what you are doing to get the best coverage at a price you can afford.
