Car Insurance for College Students in Texas
Preparing your college-bound student for success inside and outside the classroom is more than buying textbooks and dorm decor. One essential consideration is making sure they have the best car insurance policy for their new, evolving needs — a move that can save you both money and stress in the long run.
Whether your student is headed to one of Texas’ most beautiful college campuses or out of state, here’s what you need to know about car insurance for college students.
What Type of Car Insurance Does My College Student Need?
The state of Texas and most other states require drivers to have at least liability coverage. But liability only covers so much. It’s best to consider collision and comprehensive coverage — especially if your student’s vehicle isn’t paid off.
Collision coverage helps repair, or replace, your vehicle after an accident. This type of insurance covers everything from a fender bender to damage from a pothole or highway debris.
A comprehensive auto policy, also known as “other-than-collision” coverage, helps protect your vehicle against theft, vandalism, and weather-related damage.
My Child Is Going Out of State for College. Are They Still Covered?
Out-of-state students are welcome to stay on their parents’ policy as long as:
- Their primary residence is in Texas.
- They’ll maintain a Texas driver’s license.
- They plan on returning to Texas at the end of the semester.
Keep in mind: If your college kid buys their own car, they’d need to get their own policy.
Should My College Student Stay on My Auto Policy?
It’s a good idea to keep your student on your insurance policy, even if they don’t plan to drive while away at college. Bundling policies helps lower premiums, and it can prevent them from paying higher premiums with a standalone policy. Typically, the older your student, the less expensive the policy. Also, you’ll want coverage when your college student comes home for breaks.
What Happens If Someone Borrows My Kid’s Car and They’re in an Accident?
“As long as your child is listed on your policy and gives someone else permission to drive the vehicle, there will be coverage,” says Monni Gary, an agency manager in Nacogdoches. “This is not the case with a lot of insurance companies, but Texas Farm Bureau does cover this situation!”
Think About Additional Insurance Coverage for College Students
There are an array of optional auto insurance coverages that might be helpful for college students.
- Emergency Roadside Assistance. Rest well knowing your young scholar has the help they need should they find themselves stranded on the side of the road. This plan covers up to $120 for “reasonable and necessary charges,” such as towing services. Plus, it comes in handy if you need a jump or a flat tire changed.
- Medical Payments. This plan helps pay for medical bills, emergency room visits, and X-rays if you’re injured in an accident. Coverage amounts vary based on the situation.
- Umbrella. A policy will only cover you up to a certain amount. An umbrella policy extends coverage, lending an extra layer of financial protection.
Ways to Lower Car Insurance for College Students
Car insurance premiums can fluctuate based on several factors, such as vehicle type, age, and location. But good grades can also lower a college student’s auto policy rate.Full-time high school and college students who maintain at least a B average, or above a 3.0 GPA, are eligible for a discount. Your Agent will need a transcript showing a qualifying GPA and that at least 12 hours were taken during the previous semester. Drivers under age 21 can also qualify for a driver training discount.
Anything can happen behind the wheel. Make sure your student has the coverage they need.
Prepping for college is a big step. Learn more about other back-to-school savings for college students.
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