By Tyler Brooks · Editor
Published · Updated
Answer in brief
An 18-year-old leaving for college usually stays on the family policy if the family home remains their permanent address. If the car stays home, the distant student discount (for students 100+ miles away) cuts their share substantially. If the car goes to school, the insurer needs the campus garaging address—rates may rise or fall with the territory—and an out-of-state school may require meeting that state's coverage rules. Students without a car who occasionally borrow one are covered by the owner's policy and may want a non-owner policy only in specific cases.
Car stays home
Keep the student listed—they will drive during breaks—and ask for the distant student discount. Most insurers require the school to be 100+ miles from home and the student not to have regular access to a car there. The discount typically removes most of the student's rating from the family premium.
Car goes to school
Tell the insurer the campus address; the car's territory changes. Some insurers allow it to remain on the family policy with the new garaging address; others require a separate policy if the school is out of state. Check whether the campus state's minimum coverage exceeds yours.
No car at all
A student who borrows friends' cars occasionally is covered by the car owner's policy as a permissive driver. A non-owner policy makes sense only for a student who drives borrowed cars regularly or who needs continuous coverage history and is not on a family policy.
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Good student at college
The discount continues for full-time students under 25 with qualifying grades; send transcripts at renewal.
Questions & answers
Do I need to tell my insurer I'm going to college?
Yes—either to claim the distant student discount or to update the garaging address if you take the car.
Can I stay on my parents' policy at an out-of-state college?
Usually yes if the family home is your permanent address and the car stays home; taking a car out of state may require changes.
What is the distant student discount?
A reduction for students at school 100+ miles from home without a car, typically removing most of their share of the premium.
Terms used in this guide
- Distant student discount
- A discount for a student at school 100+ miles from home without a car, who drives only during visits.
- Garaging address
- Where the car is normally kept overnight; determines the rating territory. Changes if a car goes to college.
- Non-owner policy
- Liability coverage for a driver without a car, useful for maintaining coverage history.
Sources and references
Legal figures on this page (minimum limits, filing periods, statutory benefits) are checked against the primary law or the state insurance regulator listed below. Links and figures last verified Nov 2026.
- Teenagers — Insurance Institute for Highway SafetyIndependent researchTeen crash risk, graduated driver licensing research and vehicle recommendations for young drivers.
- Graduated licensing laws by state — Insurance Institute for Highway SafetyIndependent researchState-by-state learner, intermediate and full-licence ages, night-driving and passenger restrictions.
- Facts + Statistics: Teen drivers — Insurance Information InstituteStatistical dataCrash and fatality statistics for drivers 16–19 and graduated licensing context.
- Fatality facts: Teenagers — Insurance Institute for Highway Safety (2024)Statistical dataFatal crash rate per mile driven for 16–19-year-olds is just over 3 times the rate for drivers 20 and older (2022 travel data); all-severity crash rate is over 4 times; risk is highest at 16–17.
- Drivers in fatal motor vehicle crashes by age, 2023 — Insurance Information Institute (2025)Statistical dataFatal-crash involvement per 100,000 licensed drivers: 42.40 (16–20), 35.34 (21–24), 28.97 (25–34), 24.18 (35–44), 21.70 (45–54), 19.45 (55–64), 15.44 (65–74), 16.63 (75+).
- Nine ways to lower your auto insurance costs — Insurance Information InstituteConsumer guidanceShop at least three quotes; raising a deductible from $200 to $500 can cut collision/comprehensive cost 15–30%, $1,000 can save 40%+; drop physical damage on cars worth under 10× the premium; bundling, low-mileage and good-student discounts.
- Consumer insurance information — National Association of Insurance CommissionersConsumer guidancePlain-language guides from the body of state insurance regulators; links to every state's insurance department and complaint process.
- Auto insurance for teen drivers — Insurance Information InstituteConsumer guidanceAdding a teen to a parent's policy versus a separate policy; good-student and driver-training discounts; vehicle choice.
Practical guidance on this page is original editorial work. Cited sources support factual statements and do not endorse this site. Dollar ranges described as typical or illustrative are editorial estimates, not figures from these sources.
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