When you are a student it can feel like there is a new bill and a new expense around every corner. You leave the relative comfort of the family home and you emerge into an independent world where everyone seems to want something from you and you’re responsible for every penny that you spend.
That just leaves one major expense: car insurance.
In this guide we’ll show you how to get cheap car insurance as a student, what you should lookout for, and how you can save every step of the way.
Best Car Insurance for Students
The following companies have been selected based on our review algorithm, which takes customer satisfaction, claim success and rate affordability into consideration. This algorithm has been tweaked to focus specifically on the needs of students, which essentially means that a great emphasis has been placed on discounts and affordability.
It’s important to note, however, that this is only our opinion and should not be seen as a guarantee. We are not affiliated with any of these companies.
State Farm Car Insurance for Students
State Farm is one of the biggest car insurance providers in the US. In fact, it also leads the way when it comes to home insurance, as well as other essentials like life insurance. It is not known for being the cheapest in any of these areas, but the coverage it offers is extensive, it's a trusted, established company, and you can also bring those rates down if you are a college student.
If you are a college student who gets good grades than you could save as much as 25% off your policy.
Your parents were right all along, good grades really do pay off.
State Farm is also dedicated to ensuring you remain safe on the road and that you are the best driver you can be. It helps them, keeping the claims to a minimum and their profits to a maximum, but it also helps you, so it’s a win-win.
The way they do this is by using a course known as Steer Clear. It’s basically a safe driving course, and if you complete it and maintain a solid record then you can get an extra 15% knocked off your rate.
American Family Car Insurance for Students
This is not one of the better known car insurance companies, but it should be. They have excellent customer service, a fantastic track record, and some amazing rates for students.
They offer all the following benefits:
- Discounts: You can get discounts if you are a college student, if you are in the military, and more.
- Customization: They build the policy around you, offering coverage tailored to your needs as a driver. This can include coverage for lost keys, roadside assistance, and more.
- Your Own Agent: You will be given a rep who will walk you through the policy and provide you with the support you need going forward. This is an essential part of any package for inexperienced drivers.
- App: They have their own app to further simplify the process, combining some elements of online-only insurers with a rep to add the personal touch.
Amica Mutual Car Insurance for Students
Amica Mutual is nowhere near as big or as well known as State Farm. It’s roughly on par with American Family and while it doesn’t offer as many great rates, it does provide a number of other top benefits.
These include roadside assistance, lost key replacements and more. If your battery dies, you burst a tire, or you encounter some other disaster on the road then Amica can help you out. That sort of coverage may not be as appealing to college students themselves, but it will certainly appeal to their parents, who may end up footing the bill anyway.
If your kid is a little reckless, prone to losing things, to neglecting their car and to generally being very unlucky with mechanical matters, then this is definitely something you should consider.
Car Insurance for Students we Can’t Recommend
There are car insurance providers out there that have a disproportionate number of bad reviews. They may offer good rates and have a number of great benefits, but ultimately if they cause trouble when it comes time to claim then you have to look elsewhere.
We have warned customers against specific companies before, including USAA, who we discussed in our guide to veteran’s insurance. But we’re not here to pick on specific companies and we’re certainly not here to make your mind up for you.
This is a decision that you have to make yourself based on your own preferences and priorities. Just make sure that you take the following into account once you have checked the rates and coverage:
Here on DebtReviews we tend to focus primarily on debt management companies, credit cards and lenders, with only a secondary focus on insurance and other essentials. But there are other review sites out there and all should be considered when looking for a good student car insurance provider.
Just bear in mind that these sites often have an ulterior motive. They are affiliate sites that want to direct you to the program that gives them the highest cut, as opposed to the one that has the best deal.
Now that you have a foundation of knowledge based on affiliate review sites, you need to see what customers have to say.
Customers tend to only leave reviews when they have something bad to say, so don’t be scared away just because you see a lot of them. The trick is to read between the lines, focus less on the ones who are clearly bitter through no fault of the company and more on the ones who complain about rudeness, inattentiveness and the refusal to pay out.
Make sure the company you deal with have reps in your area. These days there are a wealth of companies out there who focus on the online market and offer speed and convenience as a result.
But if something happens this can be frustrating. It’s always better to be able to work with a rep directly and that will only happen if they are local.