What’s the Student Away at School Discount?

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Written by Sarah Sharkey Edited by Quiana Darden Reviewed by Amanda Clear

Updated March 22, 2023

When a child leaves the nest for college, it’s an excellent time to reassess their car insurance needs. After all, location is one factor insurance companies consider when setting premiums. 

Depending on how far away your student moves or if they leave their vehicle at home, you might be eligible for a student away at school discount. Let’s explore whether you’ll qualify. 

Key Takeaways:

• You might qualify for a discount if your student moves away to school without their vehicle. 
• Most insurers require students to be under 25 years old and attend school over 100 miles from home. 
• Companies offer this discount because your student will be driving less, which reduces the risk of them being in an accident. 

What Is a Student Away at School Discount?

A student away at school discount allows families to save on auto insurance while their child attends college.

You can typically qualify if your child is under 25 years old and attends school more than 100 miles away without their vehicle. 

The idea is that your student won’t be driving too much, so insurers can reduce your premium. While they might still drive the car on school breaks, they won’t get behind the wheel to move around campus daily. The less time spent driving presents fewer opportunities for an expensive accident. With this lower level of perceived risk, many insurance companies are willing to offer a student away at school discount. 

How Do I Get a Student Away at School Discount for Car Insurance?

If your family qualifies for the student away at school discount, reach out to your insurance company. Some insurers will allow you to sign up online, while you’ll have to ask other insurers to add it manually. 

In many cases, you’ll also need to provide proof that your student meets the qualifications. Be prepared to provide proof of their age and school admission. A class schedule is likely sufficient as proof of school attendance. 

Insurance Companies that Offer the Student Away at School Discount

Many insurance companies offer a student away at school discount. Here’s a look at some insurers providing this opportunity to save:

• Travelers: Travelers offers the student a at school discount to students under 25 who attend school more than 100 miles away. 
• American Family: American Family offers the student away at school discount to students under 25 who attend schools more than 100 miles away. 
• Farmers: Farmers insurance offers the student away at school discount to students attending schools more than 100 miles away. 
• Liberty Mutual: Liberty Mutual offers the student away at school discount to students who drive occasionally. 
• Allstate: Allstate offers the student away at school discount to unmarried students under the age of 25 who are attending school more than 100 miles away.
• Progressive: Progressive offers the student away at school discount to full-time college students under 22 attending schools more than 100 miles away.
• State Farm: State Farm offers the student away at school discount to students under the age of 25 attending school more than 100 miles away and only driving the vehicle on school vacations.

How much you’ll save on your insurance premium will vary based on the insurance company. 

The catch is that your student cannot bring a car to campus. This student away at school discount is only worthwhile to students forgoing regular access to a vehicle while at school. 

Staying on a Parent’s Auto Insurance Policy vs. Obtaining Your Own

When striking out on their own, college students have the choice to stay on their parent’s insurance or obtain their own policy. 

If a student is attending college without access to a vehicle, it’s tempting to take them off your insurance policy. After all, they won’t be driving much. But if your child plans to use the vehicle while on school vacation and it’s registered to your home address, you must keep them on your policy.  The only way you can remove them from your policy is if they change the address on their license to a different one.

One important thing to avoid is having your college student on your auto insurance plan if they take their car to school. Doing so can lead to an insurer denying a claim they file due to misrepresentation. 

The changing dynamics of a child in college is one of many expenses for families to consider. Depending on your situation, it might be the right time to discuss finances with your student to ensure everyone is on the same page. 

Other Student Insurance Discount Options

As a student, life can get expensive quickly. On top of paying education expenses, they must also keep up with regular costs like your car insurance and grocery bills. 

Unfortunately, young drivers tend to pay more for car insurance. Insurers charge higher premiums due to a lack of experience on the road, which is associated with high risk. You’ll typically see car insurance rates start reducing after turning 25. 

The good news is students have ample access to discount opportunities beyond the student away at school discount.

Here’s a look at some of the car insurance discounts available to students:

• Good student discount: If you maintain good grades, your insurance company might reward you. For example, GEICO offers a 15% discount if you keep at least a ‘B’ average. 
• Defensive driving discount: Students who take a qualifying defensive driver course might qualify for additional savings. Before signing up, confirm which courses are eligible through your insurance company. 
• Good driver discount: A clean driving record often leads to lower car insurance rates. Students with safe driving habits might be eligible to save.
• Vehicle equipment: Driving a vehicle with the proper safety features can lead to a discount.

Families with students away at school can find many money-saving opportunities. It never hurts to look for potential auto insurance discounts. 

A pay-per-mile insurance policy might be another way to lock in savings. Students who take their car to school typically stick close to campus. That means your student likely puts fewer miles on their vehicle. If that’s the case, you and your student could save by switching to a pay-per-mile insurance option. 

Finally, don’t forget to shop around for the best deals. Shopping around is an effective way to save money on your car insurance. Without shopping around, knowing if you are getting the best discount on your car insurance premiums is challenging. 

Frequently Asked Questions

How much does a student away at school discount lower rates?

The amount you save on a student away at school discount will vary depending on your insurer. 

How do you prove you qualify for the discount?

Some insurers will require you to prove your student is away at school without a vehicle. This proof might include submitting enrollment information, the student’s new address, and more. Reach out to the insurance company about any specific questions about providing evidence. 

Does the discount have an age limit? 

Many insurers require the student to be under 25 to qualify for the discount, however, some cut off the age at 22. If you aren’t sure your student qualifies for the discount, it never hurts to ask about your insurance company’s requirements. 

Is it cheaper to be on your parent’s car insurance?

In many cases, it is more affordable for college students to remain on their parent’s car insurance. If you need to get your insurance policy, make sure to shop around for the best possible deal.

Sarah Sharkey Auto Insurance Writer

Sarah Sharkey is a personal finance writer and auto insurance who loves diving into the details to help readers make savvy life choices. She has written for numerous publications, including Business Insider, SmartAsset, and Rocket Mortgage.