 Dorm Rooms and Sorority/Fraternity Houses
For insurance purposes, college students whose permanent address is their parents' address, are considered to be residents of the parents' home, temporarily residing elsewhere. Dorm room contents are categorized as personal property, located off premises.
Most homeowners/renters policies limit coverage up to 10 percent of personal property, off premises. Therefore, if you have $75,000 of personal property coverage at home, you generally will have $7,500 for an off-premises dorm room. Consider all of the electronic equipment – computers, Ipod, television, etc. when deciding if that is enough coverage to repair or replace the items likely to fill the dorm room. If it’s not enough, talk to your agent about purchasing a separate renters policy or property policy for the dorm room.
Off-campus Housing
Many college students rent off-campus apartments, depending upon the circumstance, the parents' homeowners may still provide coverage. Please discuss your situation with your independent agent to make sure that you have the proper coverage.
If the college student needs to obtain his or her own insurance, the annual premium for renters insurance is very reasonable, usually less than $250 a year for about $20,000 worth of contents.
Cars on Campus
Very few colleges allow freshmen living on campus to bring their cars, but 70 percent of the rest of the students have them. If your child has a car, you might consider leaving the car at home. You may be eligible for a reduced rate if the car is titled in the student’s name, no one else will be driving it, and the student will reside more than 100 miles away from the car.
If your student takes the car to college:
- Notify your insurance company that the car will be garaged in another location. Premiums may be affected positively or adversely by a location change.
- If your child goes from a “straight liability” state to a “no-fault” state, their liability coverage may not be adequate. Increasing or decreasing policy coverages will impact their premium accordingly.
- Consider letting your child assume the title if they are 18 years or older. As the titleholder they must get their own auto policy. This will decrease your liability exposure.
- Discourage your child from allowing others to drive the car. Regardless of who may be using the car and for what purpose, the owner of the vehicle is still responsible for the car and what is done with it.
For more information and professional advice, please talk with your agent before your student goes away to college. |