College is a big deal, and as a parent, you’re doing everything you can to prepare your child for the new experience. Do your plans include an insurance update? If you fail to reevaluate your family’s insurance coverage needs before your child leaves for college, the consequences could be costly. Learn what areas you need to focus on now.
1. Life Insurance
Now is the time to review your life insurance coverage. If you do not have a policy, you unnecessarily put your family at an increased risk. Emergencies and tragedies are devastating because they occur without warning but also because they affect the entire family.
If you don’t have adequate life insurance coverage and you were to pass, your child may have to deter their plans to help with the costs left behind. For example, if you are paying for their education, without an insurance policy, the child may be unable to continue to cover the cost of their education, which will mean they would have to take out loans or drop out of school.
If you have had your policy for some time, reevaluate it to see if it needs to be increased. If your child does not have an insurance policy, now is also an excellent time to ensure you’re adding this to your coverage solutions.
2. Auto Coverage
Some colleges and universities do not allow freshman to bring a car to the campus. If your child has a car that they won’t be taking to school right away, make sure you don’t drop coverage on the vehicle. Dropping coverage seems like an excellent way to save money, given the fact that they aren’t driving the car. However, dropping coverage may prove costly.
Auto insurance is not just about protecting a vehicle in the event of an accident. Comprehensive auto insurance policies also provide coverage against theft, vandalism, or even damage from a tree falling on the car in adverse weather.
More importantly, when your child comes home on breaks and drives without coverage, they would be doing so illegally and with the risk of great expense to you. If you want to make any changes to your auto policy, these updates should be restricted to researching discounts for student drivers.
3. Property Insurance
The cost of college has skyrocketed over the years, and not just in terms of tuition. The average college student needs a laptop or desktop computer, a tablet for taking notes, expensive calculators, television — the list goes on. Make sure you have their belongings covered and protected.
If your child resides on the campus, you may not need to purchase an additional policy. However, for a rental, such as an off-campus apartment, you will need to purchase a renters policy to protect their belongings. Now is an excellent time to reassess your personal belongings protection, as well.
In the event of costly home damage, too little coverage could mean more out of pocket costs for you. If you are helping your child pay for their education, the money you have to put into your home could take money away from covering this expense.
When it comes to total protection, don’t overlook the benefit that partnering with an insurance agent can afford. An insurance professional will sit down with you to discuss your family’s dynamics to ensure you have adequate coverage and help you make updates in the areas where your coverage is lacking.
At Family Insurance Centers, we are happy to have a similar conversation with you. Contact us today to set up an appointment so that we can help your family.