what is a
“
GOOD
student?”
Just
the
Facts
Each insurance company will have
its own guidelines. Here is a
sampling of their requirements. For
a good student discount, you must:
A 16-year-old gets
traffic tickets at a
rate 1.8 times higher
than that of the
average driver
• Be under age 25 and a full-time
student maintaining a “B”/3.0
average for all combined subjects.
They are also 3.7
times more likely to
be involved
in an accident.
• Be a full-time student in high
school, college/university or a
certificate degree program.
Once they have had one
accident, NHTSA data show,
they’re 50 percent more
likely than even other
16-year-olds to have
another accident.
• Be ranked scholastically among
the upper 20 percent of your class
Be included on a school’s dean’s list,
honor roll or comparable listing for
scholastic achievement.
National Highway Transportation
Safety Administration statistics
Look at Progressive’s Snapshot program
and State Farm’s In-Drive program.
Can I get a discount if
my teen takes a driver’s
education course?
Yes, but not all insurance companies offer
such a student discount, especially in
states where all drivers are required to take
a driver’s education class (Alabama does
not require it).
When a discount is offered, it is typically for an accredited class. Some insurers
require both classroom theory and onroad instruction; others do not. You can
usually expect a break of 5 percent.
Are there other
discounts?
Some insurance providers have additional driver education programs. For
example, Farmers has a program called
“Y.E.S.” (You’re Essential to Safety).
If your teenager watches a video and
completes a follow-up test to check how
well it sunk in, he or she can qualify
for certain discounts. And, State Farm
has “Steer Clear,” which allows drivers
under the age of 25 with a clean record
to receive a discount if they successfully complete a program that includes
a video presentation, a safe-driving
magazine and a driver’s log.
Questions and answers provided to Potential magazine by Penny Gusnar at CarInsurance.com.
CarInsurance.com provides buyers all of the information and tools necessary to shop for auto
insurance and obtain competitive insurance rates.
www.potentialmagazine.com
How much is
a good student
discount?
up to 25%
Every company will have its own
guidelines. Some will not offer a
discount at all. Others will discount
the premium by 10 percent to 15
percent. Allstate offers a discount of
up to 20 percent, and Nationwide’s
price break can be as much as 25
percent.
29