Good Student Discount
Most insurance companies offer good student discounts to young drivers to help lower their insurance rates. Student and teen drivers have some of the most expensive car insurance rates in the country, and good student discounts can take between 5-20 percent off your premiums. Even if you graduate, you may still qualify for an alumni car insurance discount. Scroll down to learn more ways to save on auto insurance.
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Jeff Root
Licensed Insurance Agent
Jeff is a well-known speaker and expert in life insurance and financial planning. He has spoken at top insurance conferences around the U.S., including the InsuranceNewsNet Super Conference, the 8% Nation Insurance Wealth Conference, and the Digital Life Insurance Agent Mastermind. He has been featured and quoted in Nerdwallet, Bloomberg, Forbes, U.S. News & Money, USA Today, and other leading...
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UPDATED: Jan 8, 2024
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Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance provider and cannot guarantee quotes from any single provider. Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about life insurance. Our goal is to be an objective, third-party resource for everything life insurance related. We update our site regularly, and all content is reviewed by life insurance experts.
UPDATED: Jan 8, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance provider and cannot guarantee quotes from any single provider. Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
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Good Students Can Save on Car Insurance
- Most car insurers offer a “good student discount”
- Generally qualify when you maintain a “B” average or better
- Must be a full-time high school or college student
- May be restricted to drivers of a certain age (e.g. 16-24)
We all know it pays to get good grades in school, but did you know it can also lower your auto insurance premium?
Yep, it’s true. Read on to learn more about this special discount that many car insurers offer for good students.
A number of auto insurance companies have a so-called “good student discount” for drivers who maintain a solid grade point average while attending high school or college.
Generally, and I say so because you should check with your particular carrier first, you need to be enrolled as a full time student and maintain a “B” average, meaning a GPA of 3.0. No straight A’s required!
These requirements can vary, so make sure your insurer offers the program, and find out of the specifics beforehand to avoid any disappointment.
Typically, the GPA is calculated based on your most previously completed semester, not your cumulative GPA.
So even if you weren’t a great student in the past, if you’ve recently turned things around it could save you some dough!
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Are You on the Dean’s List?
- It’s also possible to qualify for the discount if you’re on the Dean’s List
- Or if you are in the top “X” percent of your class
- Students who are homeschooled can also qualify via standardized test results
- For example ACT, PSAT, or SAT scores may be used
You may also receive this lucrative discount for being on the Dean’s List or being in the top “X” percent of your class.
Again, you’ll have to check with the car insurer in question to see what qualifies.
As expected, there are some restrictions to qualify. Typically, you must also have limited driving experience, often eight years or less to take advantage of the discount.
So if you’re an adult who goes back to school looking for the student discount, know that you probably won’t be eligible.
Some insurance carriers may also have a limited age range, from say 16-24, so even if you have good grades and haven’t been driving for a while, you could be barred from the discount simply if you’re too old.
Read More: Do insurance companies check grades?
So, how much is the good student discount anyway?
- While the discount amount will vary by insurance company
- It tends to be 10-15% off your policy premium
- That’s savings of $100 to $150 on a policy that costs $1,000 annually
- So study hard and get good grades!!
What are the eligibility requirements? Good question. Before you worry about whether you qualify, you should know what the discount is.
The good student discount tends to range from about 10-15% off your car insurance policy premium, so it’s well worth looking into if you feel your grades stack up.
Most companies require you to have a B average in order to score the good student discount.
For example, if your car insurance premium is $1,000 per year, you could save anywhere from $100 to $150 or more. That’s yet another reason to do well in school.
Usually, the auto insurance company will look at grades for the most recently completed school semester when a student submits an application for insurance.
Some insurers also offer an alumni discount, so be sure to ask about that as well.
It can take the place of the good student discount once you graduate to ensure the savings are carried on.
What other insurance discounts are available?
Most auto insurance providers offer a wide range of discounts to policyholders, and there’s no reason younger drivers can’t take advantage of these savings opportunities in addition to the good student discount. Ask your insurer if any of the following discounts can be added to your auto insurance policy.
- Defensive driving discount – Many companies offer a discount to policyholders who take a defensive driving or other driver education course.
- Student away at school discount – Car insurance for college students can be expensive, but if you’re living on campus and not driving much, you might be entitled to a discount.
- Safety features discount – If your car has a factory-installed air bag or other passive restraint system, this and other features that make your vehicle safer could save you money on your auto insurance coverage.
- Multiline discount – If you’re living off-campus in an apartment, you may be able to bundle your auto policy with a renters insurance policy to save money on both.
- Usage based insurance program – With a usage-based insurance program, you install a mobile app on your phone that rewards you with a discount for safe driving behaviors. If your driving skills are good enough, you’ll see lower auto insurance rates.
Each insurance company has its own unique set of discounts, so make sure to ask about this when signing up for a policy.
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What’s the bottom line?
The takeaway here is that there are tons of car insurance discounts out there and if you don’t ask about them, you may not receive them (or even know about them!).
I’ve had insurance agents who are very proactive about exploring every possible discount without me having to ask. And others who need a good nudge to actually look into them.
So be sure to ask your insurance agent about what’s available to ensure nothing gets missed. Don’t assume they’re going to do it for you. You should be able to find relatively cheap car insurance even if you’re young.
Check out some other ways to save on car insurance.
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
Jeff Root
Licensed Insurance Agent
Jeff is a well-known speaker and expert in life insurance and financial planning. He has spoken at top insurance conferences around the U.S., including the InsuranceNewsNet Super Conference, the 8% Nation Insurance Wealth Conference, and the Digital Life Insurance Agent Mastermind. He has been featured and quoted in Nerdwallet, Bloomberg, Forbes, U.S. News & Money, USA Today, and other leading...
Licensed Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about life insurance. Our goal is to be an objective, third-party resource for everything life insurance related. We update our site regularly, and all content is reviewed by life insurance experts.