Navigating Teen Driving, College Parking, and Insurance Coverage: Essential Information Ahead of Autumn Academic Term
Insurance Considerations for Students Bringing a Car to College
As students prepare to head off to college, there are several important insurance considerations to keep in mind when it comes to their vehicles. Justin Yoshizawa, Mercury's Director of State Product Management, emphasizes the unique insurance considerations for vehicles used on or around campus.
First and foremost, it's crucial to update the insurance policy with the new garaging address of the vehicle. Coverage and rates for a vehicle can change significantly depending on its primary location, and this is especially true for vehicles kept on or near campus.
Another key consideration is maintaining at least the state-required minimum liability insurance to operate legally. For example, in California, minimums are $30,000 injury/death per person, $60,000 per accident, and $15,000 property damage.
Students may also want to consider adding comprehensive and collision coverage to protect against vehicle damage from accidents, theft, vandalism, or natural disasters. Campuses and surrounding neighborhoods often have their own parking regulations, and crowded dorm and campus parking lots can be hot spots for theft, vandalism, and fender benders.
Deciding whether the student should stay on the parents' policy or get their own is another important consideration. Generally, students who drive regularly at college or commute should stay on their parents' policy for better rates and continuous coverage. Students who do not bring a car or drive much may be removed from the policy to lower costs.
If a student attends college out of state, it's important to notify the insurer, as different states have different insurance laws that can affect coverage and premiums. This may require a separate policy or adjustment of the existing one.
Mercury Insurance offers discounts for families in the situation where students attend school far from home without a car. Discounts are also available for students who bundle auto and renters insurance, which can add savings and protection for students living in dorms or off-campus apartments.
It's important to be mindful of the new responsibilities associated with driving and parking on college campuses. Ignoring posted signs could result in tickets, towing, or impound fees. Remind students to lock cars and remove valuables when parking on college campuses to reduce risks of theft and vandalism.
In summary, students and parents should proactively update insurance details to reflect the student's new location, maintain appropriate coverage beyond just minimum liability, evaluate policy placement for cost and coverage optimization, and prepare for state-specific insurance changes if attending college out of state. Mercury Insurance wants to ensure students and parents alike are protected while avoiding common mistakes.
- To safeguard their personal-finance when bringing a car to college, students should consider adding comprehensive and collision coverage to their insurance policy, as universities and surrounding areas may present unique risks such as theft, vandalism, and fender benders.
- For students attending college out of state, it's essential to educate themselves about education-and-self-development topics like understanding different states' insurance laws, as these can impact their coverage and premiums, necessitating either a separate policy or adjustment of the existing one.
