COLLEGE BOUND STUDENTS: What Insurance Coverage is Needed?

Each year, college students lose millions of dollars worth of personal property from theft, fire, flood, vandalism, natural disasters, and accidental damage. For example, there are approximately 4,000 fires and nearly 12,000 thefts each year in residence halls. As your son or daughter heads to college this fall, make sure he/she is equipped with the right insurance to live on his/her own.

Check Coverage under Your Homeowners Policy
If living in a dorm room, your child’s belongings remain most likely covered under your family’s home insurance policy. Many insurance policies cover possessions up to 70 percent of the home-coverage limits. There may also be lower premiums or higher deductibles for certain types of belongings, such as jewelry. And remember, it is crucial to notify your agent about any changes that may affect your insurance policy.

Renter’s Insurance May be Necessary for Off-Campus Living
Students who live off-campus are most likely not covered under their parents’ home insurance policies. However, some insurance companies may cover personal possessions up to 10 percent and require full-time enrollment. Therefore, ask your insurance agent whether or not your child needs to purchase a separate renter’s insurance policy.

The good news is that it is affordable and covers all possessions, including laptops, TVs, and electronics. When selecting insurance; consider the monthly premiums, deductibles, coverage limits, and replacement-costs. A standard policy offers $100,000 to $300,000 in personal property coverage and personal liability coverage.

Consider Separate Coverage for Specific Electronics
Whether your child lives in a dormitory or off-campus, you should look into acquiring stand-alone policies that provide coverage against accidental damage, liquid spills and other events for desktop computers, laptops, tablets, iPads, and other electronics not included under standard insurance policies.

Review Your Auto Insurance Options
What if your child leaves the car at home? Just notify your insurance company and ask about discounts for cars that are not driven as frequently.

If you send your dependent child to college with a car, he/she will most likely be able to remain on your existing auto insurance policy. If your child is not covered under your policy, he/she will need a separate auto insurance policy. While rates are often higher for people younger than 25, he/she may be eligible for a good student discount for maintaining at least a B average.

Notify Your Agent
Just remember, always notify your insurance company of a change! A change in your life will mean a shift in your plan. Having the right policy will ensure your child will be covered should an emergency happen at school. And as a parent, you will sleep better knowing your child is protected.

Comments

  1. Renting a private student flat or house is something that most students tend to do in their 2nd year at uni, once they've found some friends they want to live with.

    Chester student accommodation

    ReplyDelete

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