College Students And Auto Insurance: What To Know

When you are trying to figure out what kind of auto insurance you need as a college student, things can get pretty confusing. So, whether you are attempting to purchase your own insurance or are looking to be added to the insurance policy that your parents have, here is what you need to know about auto insurance and being a college student.

Where Do You Live?

You need to think about where you currently live and where you will be going to college. When you go to school, there are often parking fees that will need to be paid. In addition, you need to take into consideration the traffic that you will need to deal with can be unpredictable, especially if you are going to college in a big city. While it is true that a vehicle can offer you the luxury of taking weekend trips, the fact is that there are liabilities as well. College can be expensive, and that's before you add in the cost of car insurance.

What Are the Benefits of Staying on Your Parent's Insurance Policy?

You may want to be independent and have your own auto insurance policy, but there are actually many benefits to remaining on your parent's policy. To begin with, your parent's insurance is probably cheaper. It is considered a high-risk to insure college kids. Plus, you may not have sufficient credit to obtain a cheap insurance policy on your own, which will leave you paying a higher premium. In addition, it is just more convenient to be on your parent's policy. With a single policy, your family will find it much easier to manage the insurance, as opposed to multiple policies.

When Should You Obtain Your Own Auto Insurance Policy?

There are some instances when obtaining your own auto insurance policy can be beneficial. For instance, if you own your vehicle or are planning to buy a vehicle, then you may want to consider buying your own auto insurance policy. If you are going to be going to college out of the state that your parents live in, then you may be required to have your own policy. There are some insurers that will allow you to remain on your parent's policy, though. Ultimately, you will simply need to check with the insurance company to see what the requirements are.

Buying auto insurance for the first time can be confusing, but if you work with an auto insurance company, it doesn't have to be.