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Students, Protect Your Property

There’s a lot to do before leaving for college. You need to pack, say good-bye to friends and family, and buy books. And because of the craziness, families often forget to figure out some important details.

One of these details is determining how you are going to protect your property. Many parents, if they even think about it, just assume that your stuff will be covered by their property insurance. But that isn’t always true, nor is it always the best idea for your family.

If your primary residence remains your family home, your parents can put you on their existing homeowners policy, often at no cost.

Coverage is generally 10% of the homeowner’s policy. So if your parents have a $200,000 policy on your home, you’ll be covered up to $20,000.

Another option would be to get renters insurance. Getting one of these policies eliminates concerns about getting enough coverage, or negatively affecting your parents’ policy if you file a claim.

The other advantage of getting renters insurance is you generally can customize the policy to fit your needs.

Another option would be to get a specific college student insurance policy. These are relatively inexpensive, and cover things not usually covered by homeowners insurance, such as cell phones, wallets (although not the cash and/or credit cards contained within), bags, and so forth. And they offer low deductibles, so most of your property will be protected.

Many of these policies also offer broader protections, such as earthquake, flood, and accidental damage. Accidental damage is any kind of damage you inflict on your property, such as dropping your computer.

When researching policies, get quotes from as many different insurers as you can. Ask each potential insurer if the policy covers the actual price of your stuff or if it covers the replacement value. It’s best to have a policy that covers replacement value so you can buy a new copy of anything lost, damaged, or stolen.

Also, find out what exactly is included in the policy. You’ll probably want to find one that includes fire protection. It would also be a good idea to find a policy that covers you not only in your dorm/apartment, but also on school-sponsored trips.

Finally, make sure you will have coverage for liability claims.