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Student Auto Insurance Rate Deductions

Student auto insurance rate deductions make it more affordable for students to pay the cost of car insurance. As young drivers, we face the highest insurance rates of any driver. Statistics show that students under the age of 25 are the likeliest to get into accidents or file other claims. Teens are particularly high risk for auto insurance companies to cover. We pay more than our share for insurance, often seeing higher prices for liability policies on old junkers than what older drivers pay for full coverage on new cars. But there are ways to save money on student car insurance and get those costs under control.

Many auto insurance companies nationwide offer special rate deductions for students who qualify for these rates. There are sometimes multiple factors involved in qualifying for the discounts insurers offer to students on their car insurance packages. Grade point average and full time enrollment status, distance driven, and vehicle type are all areas that insurance companies explore in an effort to save us some money if you're looking to replace your auto insurance. When you understand the ways you can save on your insurance, you get a taste of what it takes as a consumer to navigate a financial path through these types of challenges as you roll through life.

Good Student Car Insurance Discounts

Auto insurers have found through their research that good students also tend to be good drivers. Full time high school and college students that keep up their grades statistically are a much lower risk to insure than the general student or age group population. For this reason they have no problem offering discounts to students based on the attainment of good grades. Being on the honor roll and keeping up with your academic responsibilities demonstrates to car insurance companies that you are responsible. And it tends to show that you are more trustworthy behind the wheel than the average person your age. This is just one more reason to work hard to get those grades. Even if your mom and dad won't pay you to get A's, you insurance company likely will.

The vast majority of rate deduction programs at auto insurance companies are directly tied to academic performance. Specifics can and do vary, but very typical standards state that qualifying students must be single, under the age of 25, enrolled in high school or college full time, and carry at least a B average in school. Some, but not all insurers want updated proof of eligibility every semester to keep student drivers in these rate deduction programs. Some may even want sealed transcripts sent directly from the school. For students or their parents working out the details of their car insurance policies, it is important to find out in writing exactly what is required on your end so that you can be sure to meet your obligation, not just in terms of grades but also in terms of providing proof of said grades.

Low Miles Auto Insurance Discounts

Another area of potential savings that many students would easily qualify for is low miles discounts. Now, not every company offers these discounts, and those that do might differ in their standards. The number of miles driver per year threshold might be different, and the evidence they are looking for of these mileage levels might not be the same among different companies. But nonetheless, there are opportunities to save if you're a high school or college student and you don't put too many miles in behind the wheel every year.

Low miles discounts are normally not specifically tied to age or school enrollment status (unlike with business car insurance), but they are a discount that many students tend to qualify for. It is a pretty simple principle guiding these savings: the less you drive, the lower your risk for an accident or other claim. Along with seniors, students are actually the likeliest group to qualify for low mileage discounts. Combine these savings with good student rebates, and you could be looking at decent insurance prices even as a young driver.

Drive a Low Risk Vehicle

And of course, for any age group, selecting low risk vehicles is a great way to save on car insurance. But this is particularly true for students. We pay more due to a perception (supported by historical data) that we take more chances out on the road and are more reckless than average behind the wheel. Counteract these perceptions with a low risk vehicle. Safe vehicles and those that do not tend to be involved in a lot of claims save student drivers a lot of money on their car insurance. After all, insuring a car that's not as likely to be involved in an accident tends to be cheaper for the insurance company as well. Save with student auto insurance rate deductions.


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