Car Insurance Companies Always Charge High Insurance Premium for Young and New Drivers. Looking for Cheap Car Insurance Being a college student is like looking for a needle in a haystack. According to car insurance companies, young drivers are more likely to drive recklessly, commit traffic violations, and file insurance claims. Therefore, for a student, getting cheap car insurance is difficult.
In this article, we have tried to break down the best car insurance for college students . We have also tried to provide some tips on how to get cheap car insurance for students.
Affordable car insurance for college students
We at Way.com found that USAA and State Farm were the cheapest car insurance companies for college students. USAA and State Farm’s monthly premiums ranged from $204 to $279. On the other hand, these car insurance companies may not be the best option for you. Car insurance for college students can be expensive, but you also want to make sure you have the right policy.
One of the best ways to get cheap car insurance is to shop around. By comparing car insurance from multiple companies, you’ll get the best car insurance for college students.
We have listed the top five cheap car insurance for students. According to our research, these car insurance companies are also the best car insurance for college students.
| Car Insurance Company | Approximate monthly premium | Approximate premium of 6 months |
| USAA | $204 | $1224 |
| State Farm | $279 | $1674 |
| Nationwide | $369 | $2214 |
| Progressive | $372 | $2232 |
Your specific driving history will determine your rates. When looking for the best car insurance for college students, use our information as a starting point.
Common dilemma: car insurance for parents or personal car insurance for students
As a college student, deciding whether or not you need your vehicle insurance policy is fairly simple.
If the student drives his or her parents’ car to campus, keeping it on the family’s auto insurance policy is usually the best option. The college student will be forced to remain on the family’s insurance coverage if the car was purchased jointly. If a college student owns a car, he or she is typically required to have auto insurance in his or her name.
It is not usually necessary to notify your insurer to maintain auto insurance for a college student who brings a car to school. If your student drives where liability limitations are different, your auto insurance will cover the car up to those limits.
But if your student doesn’t drive to college, check with their insurance company to see if they qualify for a distant student discount. They can still drive when they come to visit on weekends and holidays, but you may be able to find a better deal.
It’s worth noting that even if your student won’t be driving in college, it’s probably a good idea to have them on your coverage. If they don’t have insurance, the lapse in coverage could result in higher insurance premiums when they’re ready to drive again. If you leave your student off your insurance and they don’t have their own, they won’t be able to drive the family cars when they come to visit.
Another element to consider is your child’s job. If they have a job that requires a lot of driving, such as delivering groceries for Instacart or driving for Uber, you may need to change your rules. Consult your insurance agent to determine the best course of action.
When is the best time to remove your child from your insurance policy?
There are no restrictions on a child’s age when it comes to being covered under a parent’s vehicle insurance policy. Most insurers require that all members of your household who have access to your vehicles be named on your policy. It may be helpful to keep your child on the insurance if he or she still lives at home, even if only part-time.
However, in most cases, you can exclude them from coverage, especially if they have a bad driving record and increase your premiums. Keep in mind that your policy does not cover excluded drivers under any circumstances. This means that you will be entirely responsible for all damages if they get behind the wheel and cause an accident.
When it comes to removing your child from your insurance policy, there is no definitive answer. In general, everyone under the age of 25 will have to pay a lot more for insurance. This is something to keep in mind if you want to protect your child from high costs while building your insurance history.
However, keeping them on your insurance can result in higher premiums, especially if they acquire a bad credit history or receive a DUI. If your child moves away from home for any reason other than school, it’s time to get your car insurance policy.
Affordable Car Insurance for Graduate Students
There are distinctions between purchasing car insurance as a graduate student and getting car insurance as an undergraduate student. You can expect some savings on insurance as a graduate student with a bachelor’s degree.
A more educated motorist is more financially stable and more likely to drive safely, which reduces the danger and potential cost posed to the customer. As a result, graduate student car insurance rates are lower. Your age influences the next part of your savings.
Graduate students are usually older than undergraduate students, although there is no set age for them. An older driver is a more experienced driver and a better customer for an insurance provider.
Affordable Car Insurance for Graduate Students
USAA and State Farm were the cheapest for graduate students, with monthly costs ranging from $126 to $159. At Way.com, we created a general profile and compared prices from popular auto insurance companies to identify the cheapest auto insurance companies for graduate students.
The results of the five best and cheapest car insurance for graduate students are listed below:
| Car Insurance Company | Approximate monthly premium | Approximate premium of 6 months |
| USAA | $126 | $756 |
| State Farm | $144 | $864 |
| Nationwide | $168 | $1008 |
| Progressive | $168 | $1008 |
If you don’t qualify for USAA, State Farm is the cheapest insurance company for this age group. When it comes to your policy, use this information as a starting point. Because each car insurance company will respond differently to your driving record, it’s a good idea to shop around to find the best deal.
How to get cheap car insurance for students
Finding money-saving strategies is vital because car insurance rates are higher for student drivers. Getting plenty of quotes will help you determine how much you’ll pay for college student car insurance. Students and their families should be aware of such savings and check with insurers to qualify. Because not all insurers charge the same base rates or offer the same discounts, it’s often beneficial to compare numerous insurers to find the best college student car insurance.
Discounts that can help you get affordable student car insurance
Taking advantage of all available discounts can lead to big savings. College students may be eligible for the following car insurance discounts:
Maintaining excellent grades: Some car insurance companies offer discounts to students who do well in school. For example, if a college student’s report card routinely shows at least a B average or a 3.0 GPA, an insurer may reduce their rate. Drivers in high school, college and graduate school up to age 25 may qualify for this discount.
Perfect driving record: Car insurance can lower your rate if you are a safe driver who has not had an accident in a certain period of time, such as three years.
Bundle multiple insurance plans: When college students or parents combine multiple forms of insurance with the same provider (such as auto and home or renters), they can save money.
Group Member: Are you a member of a fraternity, sorority, honor society, or other group of people? If so, you may be eligible for a discount on vehicle insurance.
College or university to attend: Some colleges and universities have partnered with insurance companies to provide you with discounts on insurance while you are a student.
Discount for distant universities: If a college student travels at least 100 miles from home and does not have his or her own vehicle (or his or her parents’) on campus, many auto insurance companies will give a discount.
Completing a defensive driving course: Many auto insurance companies will offer you discounts if you take a driver’s education course in person or online. Allstate has a TeenSmart driver’s education program that allows teens to save money while taking a driver’s education course.
Military Member: Are you a current military member or a member of the reserves? Some auto insurance companies may offer you a military discount if you are related to someone who has served in the military. If this is the case, you may be eligible for a discount on your vehicle insurance.
Sign up for a pay-as-you-go plan: Many car insurance companies use technology to track your driving safety. Each program is different, but they all collect information to evaluate you, such as how fast you drive, when you drive, how hard you brake, and your mileage. If you stay within the insurer’s safe levels, you may qualify for a lower rate.
Opt for telematics
Getting telematics is another way for students to get cheap car insurance. Telematics is a system that analyzes and transmits your driving habits to your insurance. It can be used to set your rates or generate discounts if you drive safely. Telematics uses a smartphone app or plug-in device to track driving habits such as speed, harsh braking, and overall mileage.
When determining your premiums, usage-based car insurance plans consider the total number of miles you travel. Many large auto insurance companies, including Allstate, State Farm, Progressive, and new insurtech startups like Root and Metromile, offer usage-based insurance. Pay-per-mile insurance is another good telematics alternative.
Moving abroad? Can my car insurance be paused?
There is no easy way to stop your insurance. So if you are planning a summer internship or study abroad program and are not sure what to do about your car insurance, read on.
For example, you’re going to Texas for a summer internship and you’re leaving your car at home. You want to insure your car, but you don’t want to pay the full premium for the three months you’ll be gone. Storage coverage or storage protection may be an option if your car insurance company allows it. Your insurance will be reduced to just comprehensive coverage if you choose this option.
What is storage protection?
This protects your car against theft, vandalism, and weather-related damage. Because this insurance does not meet the state’s minimum liability insurance requirements, no one can drive a car during this time. Your premium, on the other hand, will be greatly reduced.
If your state oversees ongoing car registration, or if your registration is due for renewal during this procedure, you should be aware of this. Because in most states, cars must be adequately insured with liability coverage, or they can have their registration and license plates suspended. So, it would be helpful for you to be cautious. That’s because storage coverage insurance is a bit of a gray area. That is, if you need to pause coverage temporarily, storage coverage may be a viable option. But make sure you’re familiar with your state’s registration laws first.
Bottom line –
Different auto insurance companies rate you differently and offer different discounts. Therefore, no two insurance quotes will be the same. When parents and college students understand how insurers rate them and can compare numerous rates and look for possible discounts, they can save money. Depending on where you live, the cars you drive, and your financial circumstances, you or your college student may need additional insurance policies.
When comparing estimates and providers, consider that each vehicle insurance company has various coverage options, discounts, claims processes, and state laws to consider. Consider your circumstances, needs, state regulations, and what you are looking for in auto insurance when searching for the best auto insurance company.
Financial strength and customer satisfaction were some of our barometers for ranking the top auto insurance providers.
Several factors determine your premium expenses. Discounts could help young drivers save a lot of money. You will almost certainly pay more as an 18-year-old than as a 28-year-old. Finally, factors such as where you live and your driving record will also play a role.
