Berry Insurance Blog

Millions of students will be heading off to college this fall. Some may have already left (enter empty nest syndrome)! So parents, as you get your kids ready to head off to school, there’s one important item to add to your “to do” list (other than writing that tuition check): review your insurance coverage.

Let’s face it, college is expensive! And student loans can be hard to come by these days. With all the additional expenses you’re faced with as you prepare to send your child to campus, the last thing you want is to find out that an accident or theft isn’t covered under your insurance policy.

Not all insurance policies are created equal. Now is a great time to call your agent (like us at Berry Insurance) and review your coverages to make sure you are adequately protected. Here are some common exposures you should be aware of and will want to discuss with your agent:

Homeowners Policy

1. Coverage for personal property: Most homeowners insurance policies provide 10% of Coverage C (Personal Property) to property belonging to an “insured” while at another location. This means that if you have $50,000 of personal property coverage on your policy, your child would be granted $5,000 of coverage for his/her belongings. (Note: This usually applies only if the child lives on campus in a dormitory, if the damage is caused by a covered form of loss, and if they child meets the definition of an “insured”.)
   1. Some items, such as jewelry or computers, may require special coverage. Please let your agent know if your child will be taking any high-valued items with them to school.
   2. Liability coverage: Most policies typically exclude coverage for damage to property rented to an insured, so there may not be coverage for damage to the dorm room.
   3. Off-campus living: Policies may exclude any coverage to students that live off campus in an apartment.  This is a good time to explore an inexpensive renter’s insurance policy to provide personal property and liability coverage.

Auto Policy

1. Student Doesn’t Take Car to School: Even if your child won’t be taking the family car to school with them, they most likely will drive when they come home for breaks. To ensure proper coverage, your child should remain listed as a driver on your auto insurance policy.
2. Student Takes Car to School: The big issue here is what city and state is the student going to be parking the car. It’s important to make sure the proper “garaging” location is listed on your policy if your child will be taking your car with them to school. Not all agents or insurance carriers can place coverage in every state. Have this discussion now to avoid an uncovered claim in the future.
3. Student Drives a Friend’s Car While at School: As long as you keep your child listed as a driver on your auto policy, the student should be covered if they drive a friend’s car and get in an accident. If you have removed the child from your policy, then most likely no coverage will be afforded to them.
4. Discounts: Check with your agent about discounts available. Is your child a great academic student? Could mean a discount. Are they living away while at school? Another possible discount! Have they completed drivers training? Point is, be sure to explain your child’s entire situation with your agent to take full advantage of any discounts available.

For more information about this topic, or to get some answers about your current insurance situation, please visit our virtual insurance agency at www.berryinsurance.com, stop by one of our locations, or give us a call at (800) 941-3317.