College is expensive enough without finding out too late that an accident or theft isn’t covered under your current policies. So, as you get your children ready to head off to school in the next few weeks, we highly recommend that you take some time to review your insurance coverage.
It's important to keep in mind that policy language varies by company, but below is a general guide. If you have questions, or want to go over your insurance needs, don’t hesitate to contact us!
- Coverage of personal property: Most homeowners policies provide 10 percent of Coverage C (Personal Property) for property owned by an insured that is at a residence other than the insured’s. For example, if the contents of a your home are insured for $100,000, a student’s property, up to $10,000, would be covered if living in a dormitory – provided the damage is caused by a covered peril and the student meets the definition of an insured.
- For apartments or houses off-campus, the same coverage generally applies. Certain items, such as jewelry or expensive electronics, may require special coverage, or a “rider.”
- Liability coverage: There usually is an exclusion for damage to property rented to an insured, so generally damage to a dorm room or apartment would not be covered.
- Renters insurance: If your student’s needs can't be met under your current policy, don't forget renters insurance. Landlords’ policies generally only cover the structure, not the possessions of renters.
- Coverage without a car at school: If your student will continue to drive while at home on school breaks, they should continue to be listed on your auto policy. If they are attending school more than 100 miles from home, and are not taking a vehicle with them, the policy may qualify for a distant-student discount.
- Coverage with a car at school: In most instances, a car registered to parents and listed on their policy will be covered if used by a listed student away at school. And note that a change to the principal location of the vehicle could result in a change in premium.
- Driving a friend’s car at school: Students generally would be covered while driving a friend’s car if the students are listed on their parents’ policy, do not have regular use of the vehicle and it’s not owned by a roommate or relative. However, if the coverage applies, it would be secondary, as the carrier for the friend’s vehicle would be the primary coverage.
- Coverage discounts: In addition to the possible distant-student discount mentioned above, students may qualify for a good-student discount.
Going away to school is an exciting time for both students and their parents. Making sure you’ve got the right insurance coverage can help you protect your assets as you invest in your child’s future. We’re happy to discuss your coverage options - just give us a call!
Mission Viejo Office: (949)582-5220
| Tustin Office: (714)505-5310