college - Spencer Insurance Agency, Inc

Know someone who has children going to college?

college packing

 

This is the time of year when parents start getting their child ready to go away to college. The many shopping trips and the packing will consume much of your free time.  Did you know having a child away at college can have impact on your auto and homeowner’s insurance? Spencer Insurance Agency has some valuable information for parents so they can learn how this special event impacts their insurance coverage. Check out our website for a discussion of the following:

  • Is your child’s stuff covered while they are away at college?
  • What if my child and roommate buy stuff together?
  • How does my child going to college impact my car insurance rates?

Another area you need to consider are college loans.  Did you cosign any of the student loans?  Did you take out a home equity loan to help pay for college tuition?  You should consider an inexpensive life insurance policy on your child to cover loans in the event of your child’s death. Student loan debt can add up quickly and become a burden to the family.  Protect yourself financially. Give us a call if you would like an insurance review.  Good luck with all the preparations during this special time.

Child Leaving for College

college packing  (Note: forward this to someone you know who has a child going to college!)

Congratulation on your child’s achievement!  As you prepare to send your child to college let’s review some important items.

Is their “stuff” covered while at a dorm or off campus apartment?

Generally, as long as your child is a full time student, was a resident of your house before moving to college, and is under age 24 there is some coverage for the students “stuff” while they are away at school. However, that coverage is generally limited to 10% of your contents (Coverage C) on your homeowner’s policy. For example, if the contents limit on your policy is $140,000, your child would have $14,000 of coverage for the “stuff” in his dorm room. Consider purchasing a renter’s insurance policy. There are limitations on certain items including computers, jewelry, musical instruments and collectibles.  If your child is taking any of these items with them to school, give us a call to review.

What if my child has a roommate and they buy “stuff” together?

In this situation you should consider a Renter’s policy to cover both your child’s and roommate’s stuff.  As long as both children are on the lease most companies will write one renter’s policy covering both children.  Call us to discuss your situation.

How does my child going to college affect my car insurance policy?

If you have a student away at a college that is over 100 miles and they do not have a car with them, we can add a discount for “Child Away at School.”  If your child is taking their car to a college that is in the same state you reside, then we may be able to rate the car as being “garaged” at the college, rather than your household.  If the collage is out of state, however, it would need to remain as rated at your home address.

If you have any questions, give us a call and discuss your situation with our experienced staff.

Know someone getting a child ready for college?

I know it is only July, but I bet you are already preparing for your child’s trip to college or know somebody who has a child preparing for college. Make sure you friends and family get this valuable information.  Forward this email to them.

This is a big step and preparations can be both stressful and exciting.

The days when children just took a pen, ruler and protractor in a pencil case, plus maybe some lunch money, to school are long gone. These days they carry a small fortune in electronic equipment, wear more expensive clothes and use designer-label sportswear for gym sessions. That means they’re more vulnerable to loss and you’re more likely to be out of pocket when things get lost, damaged or stolen. So, does your insurance cover you for this risk? And what about equipment that is loaned to them?

The answer is normally “Yes” – your homeowner’s insurance policy usually protects you or a “resident relative” against covered losses to personal property, whether it’s owned or just being used by the insured, inside or outside the home. In most cases, a student is still regarded as a “resident relative” even if they’re away at college, provided your home is where they normally live outside of term time.

However, an important word of warning. If you have a deductible on your policy, you may find that this exceeds the value of the lost or damaged item, so you’ll end up paying for it yourself – though you can obtain separate coverage for college students.

Also, it’s important to check your policy to see which items are covered and whether there are any exceptions, exclusions or limitations. Not all homeowner’s policies are the same.

For more information go to our Website and see the article “Child leaving for College.”

If you need help, please contact us at 215-885-2200. Remember“The True Cost of Insurance”  includes what you pay out of pocket for those items not covered by insurance.

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