Insuring college students is a major part of our business, given our proximity to schools like Rollins, UCF, FullSail and Valencia. The biggest factor that determines the price of insurance for a student is the value of the car they are driving.

I often tell parents that a $5,000 car is going to cost a lot less to insure than a $50,000 car.

Before you go out and buy a vehicle for your student, send me the VIN. I can give you a quote in minutes. Interestingly, not all cars are created equal in the eyes of an actuary. For instance, BMWs generally have higher premiums than Mercedes because statistics show BMW drivers tend to crash more often.

Similarly, I have found that Toyota Camrys are often cheaper to insure than VWs, likely because the data suggests Toyota drivers are more cautious.

Beyond the car choice, there are specific discounts we look for. The “Good Student Discount” is significant, so keeping that GPA up actually saves you money.

Also, we recommend keeping your student on your parent policy for as long as possible. This helps them build up an “insurance history” or score. When they eventually graduate and get their own policy, that track record of being insured for 3 or 4 years helps them get a better rate .

Also, a quick warning: if your college student lives at home and has a driver’s license, they must be listed on your policy. If they live in your house, they have access to your keys.

If they aren’t listed and they drive your car, you are putting your coverage at risk.