Good Student Discount
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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!
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.
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!!
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.
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!
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.
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 you inquire about what’s available to ensure nothing gets missed. Don’t assume they’re going to do it for you! There’s a chance you could miss out on some big savings!
Check out some other ways to save on car insurance.