Having a license and a vehicle makes student life all the easier. If you are a college student, or the parent of a high school student, you might be wondering how you can go about finding cheap student auto insurance that will protect you and satisfy state laws. All drivers, even starving students living a very restricted budget, are required by law to carry auto insurance on any registered vehicle that they own. Fulfilling this requirement without breaking the bank is using the resources you have to your advantage. One such resource is the online auto insurance rate comparison tool. Here are some valuable tips on how you can find cheap auto insurance rates as a student:
Take Advantage of Student Discounts When You Qualify
Believe it or not, insurance companies do offer different discounts to lower rates that are exorbitantly high for young inexperienced operators. Students in high school, undergraduate school, or a graduate program may qualify to what is referred to as a Good Student Discount. While the eligibility requirements for the Good Student Discount vary from company to company, most companies will require the student to be enroll in classes full-time and earn a 3.0 GPA or a B average. Insurance companies have found that students who maintain good grades are more responsible drivers.
You should verify what the requirements are before you start retrieving quotes so that you can receive those large discounts of up 30% off of your premiums. In order to receive the Good Student Discount, you may be asked to provide an official transcript to the insurance company on an annual basis. Students who reach the age of 25 and are still in school may not qualify for the discount because their rates at the age of 25 will go down.
Understand How Policies Are Rated Before Requesting Insurance Quotes
As a student, you might not fully understand how auto insurance works. This is completely normal, but you should take the time to learn how policies are rated for your own benefit. A variety of different factors will affect your auto insurance rates, and if you want to find cheap student auto insurance, knowing what raises and lowers premiums is important. You probably know that the type of vehicle you own plays a role in the total premiums you are charged, but did you know you will pay more if you commute to school than you would if you drove your vehicle just to run errands? Pleasure usage carries the cheapest rates. Another shocking fact is that annual mileage predictions can raise your premiums, so always be modest. If you have a short commute, be sure to keep this in mind when giving your prediction. Stating a high number can lead to mileage surcharges.
Take time to compare all of the coverage options that are available, and build a policy that provides protection and peace of mind. By taking advantage of special discounts, pricing the cost of different coverage limits, and comparing premiums from different insurers, you will feel confident with the choice you make.