Car insurance is expensive, and for young drivers, premiums can be borderline outrageous. Luckily, a number of car insurance companies offer students car insurance with a discount for good grades. Statistics show that good students are less likely to drive recklessly, and insurance companies will reward students who are in good academic standing. Different schools use different grading systems, and there are a number of ways to qualify as a good student. The insurance company looks at the grading period prior to the one in which the student is applying for insurance, so college grads can usually receive an extra grading period worth of discounted insurance.
Before applying for the good student discount, look at some car insurance quotes online to see how much of a discount you are eligible for. Most companies will offer a discount of at least 10 percent. However, some companies will offer a larger discount like 15 percent. It is also important to call your insurance agent or check online for the rules regarding student-discounted car insurance. Some companies will provide the discount to students up to the age of 25, while others will only provide it until 24. Students must also be pursuing education full-time to be eligible.
The first way to ensure affordable car insurance is with good grades. Students with a "B" average or a 3.0 GPA usually qualify for the good student car insurance discount. If a school does not use a letter or number grading system, students can receive the discount by being on the honor roll or Dean's list. Grades are not the only way that student car insurance can be obtained, though. There are other ways to qualify that revolve around standardized testing instead of grades. The discount is also offered for students that score in the top 20 percent on the SAT, ACT or PSAT. Some companies will also honor scores in the top 20 percent on the PACT, Iowa Test of Basic Skills, the California Achievement Test, and Tap. In this way, homeschooled students are eligible as well.
The affordable car insurance for students lowers the premiums associated with bodily injury and property damage liability, as well as medical payments, and comprehensive and collision coverage. To qualify for the good student discount, some car insurance companies will require an official document that verifies the student's standing. You can check your car insurance quote online or call your insurance agent to obtain a list of the documentation needed to apply for the good student discount. Students can help to reduce their insurance premiums by maintaining good grades and doing well in school. Studying has other benefits besides graduating - low car insurance.